Crude oil prices rise; metals mixed on day
Crude oil prices rose Friday on concerns about supply during the summer driving season, on a possible strike by oilfield service workers in Norway, and on news that a new tropical storm could be building in the Atlantic Ocean. The weather concerns came although there was little chance that the storm would strengthen into a hurricane and was not expected to enter the oil producing areas of the Gulf of Mexico.
Brent crude August contracts added 21 cents to $70.16 per barrel by late afternoon on the International Petroleum Exchange in London. Brent was up 2 percent for the week. West Texas Intermediate crude for August delivery, meanwhile, gained 26 cents to $71.10 per barrel in late morning trade on the New York Mercantile Exchange, for a gain of 1.7 percent on the week. Gasoline futures in the US gained 4 percent on during the week.
In metals markets, gold dropped $4 Friday to $577.70/$578.00 by late afternoon in London. Gold has fallen 20 percent from its 25-year-high, reached on May 12. This was the first week in six weeks that gold has not advanced over the week.
Copper added $91 to trade at $6,709 per tonne by late afternoon on Friday, but was still $180 lower for the week. The declines came even though London Metal Exchange inventories are down to two days of world consumption of the metal and strikes are ongoing at two Mexican mines and threaten in Chile.
Aluminium on the LME lost $37 on Friday and $120 during the week to $2,448 per tonne, while zinc declined by $80 to $2,860 per tonne on Friday and dropped 7 percent over the week as inventories were up.