Oil, metals prices driven by forecasts, news

Crude oil prices were lower again in afternoon trade in New York after the International Energy Agency joined OPEC and the EIA in predicting that oil consumption will decline this year, and after the US Labor Department issued new numbers showing that new jobless claims in the US were up again last week.

At just before 1:30 p.m. in New York, about an hour before the close of floor trade on the New York Mercantile Exchange, West Texas Intermediate crude for June delivery was down 56 cents to $57.46 per barrel, while at last report Brent crude was 44 cents lower to $56.90 per barrel on the ICE Futures Europe exchange in London.

In late morning trade, Nymex June gasoline futures were fractionally higher to $1.69 per gallon while at midday June heating oil was fractionally lower to $1.49 per gallon while in afternoon trade, June natural gas futures had dropped 11 cents to $4.22 per million British thermal units.

Among precious metals, platinum and palladium both saw declines after General Motors’ (NYSE: GM) CEO said in an interview that the auto industry giant will probably declare bankruptcy, while court filings by Chrysler in its bankruptcy proceedings revealed that it is looking to cancel agreements with 789 dealers.

July platinum dropped $5.70 to $1,117.50 per troy ounce in early afternoon trade while in late morning trade June palladium was $2.30 lower to $224.45 per troy ounce.

Both metals are used in the manufacture of pollution control devices for motor vehicles.

A report from the US Labor Department saying there were 637,000 first time unemployment claims filed last week in the United States, up 32,000 from the previous week and 27,000 more than had been anticipated helped send June gold up $2.10 to $928 per troy ounce while July silver added 2 cents to $14.04 per troy ounce.

July copper declined slightly to $2.03 per pound in New York trade.

Grains prices were higher on the Chicago Board of Trade, where May wheat and May corn each added around 2 cents, to $5.81 per bushel and $4.21 per bushel respectively, while May soybeans added 16 cents to $11.66 per bushel.

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