LONDON (SHARECAST) - Crude oil futures rose back above $70 a barrel on Tuesday, snapping a nine-day losing streak, ahead of weekly government stockpile data.
US light crude oil for January delivery rose $1.18 to settle at $70.69 a barrel on the New York Mercantile Exchange.
Tuesday’s gain put an end to crude’s decline, with prices toppling 12% since the start of the month. Oil prices have come under pressure amid concern about weak demand and buoyant supplies.
However a colder than usual snap sweeping through the US also supported demand for oil as consumers crank up the heating. Even a strong performance by the dollar failed to dent oil gains on Tuesday.
Among precious metals COMEX gold for February delivery fell 80 cents to settle at $1,123 an ounce as the rising dollar reduced the yellow metal’s appeal as an alternative investment.
There were also some nerves as the Federal Reserve’s central bank policy meeting got underway Tuesday. It is widely expected that interest rates will remain close to zero but focus will be firmly on the accompanying statement for any clues as to when the Fed might hike interest rates.
March silver settled 11 cents higher at $17.45 an ounce and December copper fell 1 cent to $3.14 a pound.
