Oil prices back below $65

22 July 2009

Crude oil prices slipped back below the $65 (£39.72) level overnight on the New York Mercantile Exchange (Nymex) following the release of data which showed US inventories at a higher level than analysts expected.

Such a rise suggests demand in the country remains lower than had been anticipated.

Figures from the American Petroleum Institute show that stockpiles in the US rose by 3.1 million barrels last week. Data from the Energy Information Administration are expected later today.

At 04:38 Eastern Time this morning, Nymex crude futures for September delivery stood at $64.74 per barrel.

Heating oil prices also fell, standing at $1.69 per gallon.

Crude prices had risen above $65, possibly on better earnings releases from a number of companies, but possibly also strategic betting from traders as the close of August contracts drew near.

Spot prices for dated Brent crude remains above $65 at $65.58 on the Nymex, although prices had dropped by four cents.

Click here for a home heating oil quote.