Oil prices rise on Algerian hostage drama
The country is the No. 4 crude oil producer in Africa. Traders worry about supply issues and political instability in the region.
According to Bloomberg News, oil futures for February delivery climbed as high as $95.43 on the New York Mercantile Exchange, the highest intra-day price since Sept. 19. Traders were reacting to better-than-expected housing start data and last week's drop in applications for unemployment benefits, which was the lowest since January 2008, the news service says.
Traders are also worried about political instability in Algeria following reports that six foreign hostages and eight of their captors were killed in a botched rescue attempt at a remote gas plant. Other reports say 50 hostages managed to escape. Some hostages continue to be held by gunmen aligned with Mokhtar Belmokhtar, a senior commander of al-Qaeda in the Islamic Maghreb until late last year, according to the BBC.
According to the U.S. Energy Information Administration, Algeria was was the fourth-largest crude oil producer in Africa in 2010 after Nigeria, Angola, and Libya. Anadarko (APC), BP (BP) and ConocoPhilips (COP) are among the foreign firms with investments in the country. The country also is a leading producer of natural gas.
Of course, the last thing the fragile economic recovery needs is a huge spike in oil prices.
--Jonathan Berr does not own shares of the listed stocks. Follow him on Twitter @jdberr
More on Money Now
- Man secretly outsources own job
- More coeds seek 'sugar daddies' for tuition help
- US may become largest oil producer in 2013
SO IN OTHER WORDS:
FRANCE ATTACKS AL QAEDA IN NORTHERN MALI . IN RESPONSE, AL QAEDA ATTACKS ALGERIAN BP GAS PLANT WHICH HAD PRODUCED 160,000 BARRELS A DAY. A BOTCHED RESCUE ATTEMPT AT THAT PLANT KILLED 6 FOREIGN HOSTAGES AND 8 CAPTORS. THIS HAS CAUSED POLITICAL INSTABILITY IN ALGERIA DRIVING BARRELS OF OIL TO 95.43 (THE HIGHEST SINCE SEPT. OF 2012). THEREFORE MAKING THE US ANTICIPATE HIGHER GAS PRICES.
fruuuk the traders this sheeeet has got to stop we have to oil off the commodities market god damit every time i read this sheeet it makes me puke
Copyright © 2013 Microsoft. All rights reserved.
Quotes are real-time for NASDAQ, NYSE and AMEX. See delay times for other exchanges.
Fundamental company data and historical chart data provided by Thomson Reuters (click for restrictions). Real-time quotes provided by BATS Exchange. Real-time index quotes and delayed quotes supplied by Interactive Data Real-Time Services. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by SIX Financial Information.
The cult hit's online-only revival uses a novel sliding pay scale for the show's increasingly famous cast.
- Teen's invention recharges cellphones in seconds
- McDonald's CEO: Relax, Ronald's not bad
- Oklahoma senators change tune on disaster relief
- At software giant SAP, autism is an asset
- Mike Bloomberg's next career: Taxi magnate?
- Shotgun wedding for Saks and Neiman Marcus?
- Charles Ramsey gets burgers for life, but no Big Macs
- New Jersey bar sting turns up 'swill'
- Mike's Hard Lemonade goes after male drinkers
[BRIEFING.COM] S&P futures vs fair value: -8.00. Nasdaq futures vs fair value: -14.50. Equity futures trade near their pre-market lows with the S&P 500 futures off by 0.6%.
Today's better-than-expected durable goods report for April provided a brief boost to index futures before the move was retraced entirely.
For April, durable goods orders rose 3.3% after declining an upwardly revised 5.9% (from -6.9%) in March. The Briefing.com consensus expected durable goods ... More
More Market News
Investors see value in Hewlett-Packard and growth in ChannelAdvisor.