Tags: Oil | jumps | Middle-East | cliff

Oil Jumps 2.3% on Middle East Fears, Fiscal Cliff Hopes

Monday, 19 Nov 2012 05:26 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink

The price of oil closed at its highest point in nearly a month Monday on rising concerns about the Middle East and less worry about the U.S. "fiscal cliff."

President Barack Obama and leaders of the House and Senate appeared to have constructive discussions Friday to avoid a series of automatic tax increases and spending cuts scheduled to kick in on Jan. 1 in the absence of government action. Economists have been warning of dire consequences if no action is taken, including the possibility of another recession.

Overseas the escalating conflict between Israel and Hamas raised concerns about Middle East crude supplies. Analysts say supplies could be disrupted if the conflict engulfs countries elsewhere in the Middle East, a region that produces more than one-third of the world's oil.

Benchmark crude rose $2.36, or 2.3 percent, to finish at $89.28 in New York. That's the highest since Oct. 22.

Brent crude, which is used to price international varieties of oil, rose $2.75, or 2.5 percent, to end at $111.70 per barrel in London.

U.S. stocks rose as well. The Dow Jones industrial average was on track for its biggest one-day gain since Sept. 13.

Meanwhile drivers are seeing sliding pump prices ahead of the Thanksgiving holiday. Gasoline fell by more than a penny over the weekend to an average of about $3.42 a gallon nationwide. A month ago, it was $3.69.

Other energy futures on the New York Mercantile Exchange:

— Wholesale gasoline rose 4 cents to finish at $2.75 a gallon.

— Heating oil gained 9 cents, or 3 percent, to end at $3.08 a gallon.

— Natural gas fell 7 cents to finish at $3.72 per 1,000 cubic feet.

© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
You May Also Like
Around the Web
Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved