Crude prices fall on US inventory levels

Crude oil prices were lower Wednesday after the US Energy Information Administration reported in its weekly inventories report that crude oil and gasoline stockpiles grew in the US last week.

The EIA said that crude oil inventories were up by 2.1 million barrels in the week ending 27 November, while gasoline stockpiles added 4 million barrels even though refineries have cut back operations but distillates in storage fell 1.2 million barrels.

At about an hour before the close of floor trade, January contracts for West Texas Intermediate crude had dropped $1.52 to $76.86 per barrel on the New York Mercantile Exchange, while January Brent crude was $1.76 lower to $77.61 per barrel on the ICE Futures Europe exchange in London.

Nymex January gasoline futures were down 5 cents to $2 per gallon in midday trade.

Gold prices hit new highs in both London and New York.

February gold added $12.80 to $1,213 per troy ounce in New York trade after rising as high as $1,216.75 per troy ounce in London and to $1,218.40 per troy ounce earlier in the session in New York.

Among other precious metals, March silver was up 12 cents to $19.33 per troy ounce and January platinum was $19.70 higher to $1,506.30 per troy ounce, while in earlier mid-morning trade March palladium gained $9.10 to $393.05 per troy ounce.

Copper prices were up after positive comments from Goldman Sachs, with March copper adding 3 cents to $2.36 per pound in New York while three-month copper traded at $7,130 per tonne on the London Metal Exchange.

Zinc, aluminium, nickel and tin were also higher, while lead prices declined.

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