You choose, we deliver
If you are interested in this story, you might be interested in others from The Journal Gazette. Go to www.journalgazette.net/newsletter and pick the subjects you care most about. We'll deliver your customized daily news report at 3 a.m. Fort Wayne time, right to your email.

Business

  • Column: Hog prices grind lower
    Hog producers have been able to offset animal losses by fattening up the remaining hogs on inexpensive corn.
  • GM boosted June sales with discounts to dealers
    As General Motors prepares to report monthly sales results on Friday, a look its numbers from June show just how intent the company is on keeping new-car sales on the rise during a record spate of safety recalls.
  • Target taps outsider as next CEO
    NEW YORK – Target is bringing in an outsider as its CEO for the first time as the retailer fights to redefine itself to American shoppers.
Advertisement

Oil rise ahead of the release of U.S. indicators

BANGKOK (AP) — Oil prices were higher Wednesday ahead of the release of more U.S. economic indicators and the conclusion of a meeting of U.S. Federal Reserve policymakers.

Benchmark oil for March delivery was up 12 cents to $97.69 a barrel at late afternoon Bangkok time in electronic trading on the New York Mercantile Exchange. The contract rose $1.13, or 1.2 percent, to close at $97.57 on Tuesday after being pushed higher by a report about rising U.S. home prices. Energy prices can rise when investors feel good about the economy, since it's needed to power manufacturing and other economic activity.

But traders became slightly more cautious ahead of the release of other U.S. economic indicators, including economic growth on Wednesday and weekly jobless claims Thursday. In addition, the Federal Reserve will conclude a two-day meeting later Wednesday with the release of a statement that investors will study for clues about the outlook for the economy and interest rates.

Recent rises in oil prices have been the result of an improving global economy, and positive manufacturing reports from the U.S. and China. But significant gains could be capped by demand constraints and ample supply, analysts said.

"The fundamentals are also likely to deteriorate again later in the year," said analysts at Capital Economics in a report. "Over the longer term, booming energy supply from both conventional and new sources will also add to the downward pressure on prices."

Brent crude, used to price international varieties of oil, rose 19 cents to $114.55 a barrel on the ICE Futures exchange in London.

In other energy futures trading on Nymex:

— Wholesale gasoline fell 0.1 cent to $2.975 per gallon.

— Natural gas rose 2.7 cents to $3.285 per 1,000 cubic feet.

— Heating oil rose 1.1 cents to $3.12 a gallon.

Advertisement