Oil Prices Move Lower

The current oil price declined before the upcoming release of the economic report from China and the U.S., two of the biggest economies of the world, and prior to the speech of the Federal Reserve chief.

On the NYMEX, the U.S. benchmark crude for delivery in June was 55 cents lower to $95.47 per barrel. The contract moved 86 cents higher to settle at a crude price per barrel of $96.02 during the last trading day of the past week.

The U.S. government will soon release April’s figures for home sales and durable commodities and HSBC will release its monthly poll on the manufacturing growth of China.

Moreover, analysts are waiting for the upcoming statement of U.S. Central bank chief Ben Bernanke. Of important interest is any probable indication that the Federal Reserve may be getting ready to cut back on its extremely loose financial policy since the latest data has signified a sustained recovery of the economy.

Markets will be closely watching for any signals of the possible move of the Fed, according to Singapore’s DBS Bank Ltd analysts in a market commentary.

On London’s ICE Futures Exchange, Brent, the benchmark used to assign prices to international varieties of oil, moved 56 cents lower to $104.08 per barrel.

In other energy trading on the NYMEX, the price of wholesale gasoline moved 0.9 cents down to $2.89 per gallon. The price of natural gas moved 8.7 cents up to $4.14 per thousand cubic feet. And the cost of heating oil moved 1 cent lower to $2.924 per gallon.