Weak dollar sends oil, metals prices higher

Crude oil prices were higher Tuesday as the US dollar weakened in relation to the euro and ahead of Wednesday’s new US inventories data from the Energy Information Administration.

October contracts for West Texas Intermediate crude were $1.86 higher to $71.57 per barrel on the New York Mercantile Exchange just before the close of floor trade, while November contracts added $1.67 to $71.60 per barrel in afternoon trade.

October contracts expire at the end of trade today.

Brent crude was up $1.70 to $70.39 per barrel on the ICE Futures Europe exchange in London.

In afternoon trade, Nymex October gasoline futures were up 3 cents to $1.78 per gallon while November heating oil was 5 cents higher to $1.84 per gallon and November natural gas traded even at $4.42 per million British thermal units.

December copper added 6 cents to $2.86 per pound in New York trade while three-month copper was up $80 to $6,270 per tonne in London.

Despite the gains, there were still worries surrounding the high level of copper inventories in warehouses monitored by the London Metal Exchange and by the Shanghai Futures Exchange.

Aluminium prices were also up, adding $5 to $1,889 per tonne in London, as LME stockpiles fell during the session but remained near record highs and new data showing that imports into China were down in August from July’s levels.

Among other base metals, zinc added $27 to $1,946 per tonne while lead was up $74 to $2,289 per tonne, tin was $200 higher to $14,650 per tonne and nickel gained $350 to $17,750 per tonne.

Precious metals prices were also up on the session as December gold added $10.90 to $1,015.80 per troy ounce on the weakened dollar while December silver was up 24 cents to $1,336 per troy ounce and October platinum gained $17 to $1,336 per troy ounce.

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