Crude Intentions

Oct. 21 (Bloomberg) -- Crude oil and heating oil fell for a fourth straight day on expectations that U.S. inventories will jump as Hurricane Wilma heads away from the nation's oil fields.

The storm is expected to hit Mexico's Yucatan Peninsula early today and should reach Florida this weekend, the National Hurricane Center said. If Wilma follows the projected path it will miss oil fields and refineries that were hit by Hurricanes Katrina and Rita. U.S. crude-oil and gasoline supplies surged last week as imports jumped and facilities were repaired.

"There is a fair amount of crude oil and products laying around, there are no shortages and the situation will only get better as refineries come back," said Justin Fohsz, a broker at Starsupply Petroleum Inc. in Englewood, New Jersey. "A price in the $65-to-$70 range no longer makes sense; something in the $50 range is more reasonable."

Powered by: