Friday, December 28, 2012

Oil prices rise ahead of US fiscal-cliff talks

(AP) ? The price of crude rose Friday, following stock markets in Asia higher hours ahead of a last-ditch effort in Washington for political leaders to strike a budget deal before the year-end deadline.

Benchmark crude for February delivery rose 13 cents at late afternoon Bangkok time to $91 per barrel in electronic trading on the New York Mercantile Exchange.

The contract fell Thursday following a reported drop in U.S. consumer confidence and growing pessimism that President Barack Obama and Republican lawmakers will reach a compromise on ways to avoid the so-called fiscal cliff ? hundreds of billions of dollars in government spending cuts and tax increases that take effect automatically in 2013 unless lawmakers act.

Hopes that a compromise might be reached were raised after Obama, who cut his Hawaii vacation short, invited congressional leaders to the White House for talks Friday.

In other energy futures trading:

? Wholesale gasoline fell 0.5 cents to $2.8166 a gallon.

? Brent crude, used to price various kinds of foreign oil, fell 12 cents to $110.68 per barrel in London.

? Heating oil fell 0.7 cent to $3.0417 a gallon.

? Natural gas lost 3.6 cents to $3.376 per 1,000 cubic feet.

Associated Press

Source: http://hosted2.ap.org/APDEFAULT/f70471f764144b2fab526d39972d37b3/Article_2012-12-28-Oil-Prices/id-e63d60812dcf497ba3862109737ff322

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