Top > Business > 2005 > November > 2005-11-20

Crude Oil Futures Jump Above $58

Crude futures jumped above $58 a barrel this week after a government report shows a drop in U.S. supplies. Rakesh Shankar, an economist, says in a report that the data "confounded expectations of further buildups in crude and gasoline inventories and, as such, will put some upward pressure on prices for the next week."

Early Wednesday, the Energy Department said crude inventories fell 2.2 million barrels for the week ending November 11. Market expectations were mixed, although many analysts expected an increase in stocks.

Crude for December delivery tacked on 87 cents to trade at $57.85 a barrel on the New York Mercantile Exchange after a high of $58.10. It rebounded from Tuesday`s close under the $57 mark -- its lowest level since June 10. December heating oil tacked on 4.16 cents, or 2.5%, to $1.7225 a gallon, and unleaded gasoline rose 2.16 cents, or 1.5%, to $1.478 a gallon.