Oil prices below $106 in Asia amid trader concernsMarch 15, 2012 - 11:40 AMT PanARMENIAN.Net - Oil prices hovered below $106 a barrel Thursday, March 15, in Asia amid trader concerns that growing U.S. crude supplies reflect weak demand. According to The Associated Press, benchmark oil for April delivery was up 24 cents to $105.67 in electronic trading on the New York Mercantile Exchange. The contract fell $1.28 to settle at $105.43 per barrel in New York on Wednesday. The Energy Department's Energy Information Administration said Wednesday crude inventories rose 1.8 million barrels last week. At the key storage facility in Cushing, Oklahoma, supplies rose 2.5 million barrels last week and have jumped 10 million barrels during the last two months. "The magnitude of the Cushing supply build is beginning to exceed most expectations," energy consultant Ritterbusch and Associates said in a report. "Our previously targets of crude at the $112-113 area are beginning to appear out of reach with Cushing supply mounting." Oil prices have risen from $75 in October amid investor optimism an improving U.S. economy will boost crude demand. However, the EIA said Wednesday that gasoline demand was down 7.2 percent from a year ago. Traders have been eyeing in recent weeks the likelihood that a possible military strike by Israel or the U.S. against Iran's nuclear facilities could take some or all of Iran's 4 million barrels a day of crude output off the market. Saudi Arabia's top oil official sought to assuage those fears Wednesday, saying his country and other oil exporters are ready to produce more to offset any supply shortfall, if needed. In other energy trading, heating oil was down 0.4 cent at $3.26 per gallon and gasoline futures fell 0.5 cent at $3.34 per gallon. Natural gas slid 3.3 cents at $2.25 per 1,000 cubic feet. Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Armenia Security Council chief traveling to Qatar Secretary of the Security Council of Armenia Armen Grigoryan will travel on a working visit to Qatar. Armenian Foreign Minister regrets “tragic loss” of Iranian counterpart The Armenian Foreign Ministry has expressed shock over the death of the Iranian President and the Minister of Foreign Affairs. Armenian PM sends condolences to Iran Prime Minister Nikol Pashinyan sent a message of condolence to the Supreme Leader Seyyed Ali Khamenei. Armenia, Turkey discuss restoration of historic bridge The meeting took place on May 17 in Ashgabat on the sidelines of an international conference of ministers of culture. |