Crude oil rises as Emily hits Mexico Markets expect sharp decline in U.S. oil supplies
Crude-oil futures gained Wednesday as Hurricane Emily crashed into Mexico and disrupted production in the area. Traders also positioned themselves ahead of the latest weekly U.S. supplies data.
August-dated crude oil rose 44 cents to $57.90 a barrel in the electronic trading on the New York Mercantile Exchange.
Hurricane Emily came ashore on the northeastern coast of Mexico, about 80 miles south of the U.S.-Mexico border, on Wednesday, returning to category three-level strength after earlier weakening to a category one storm.
The hurricane is expected to work its way inland and become a tropical depression before it fades away.
Mexican state-owned oil producer Petroleos Mexicanos has had to cancel daily production of 3 million barrels since Sunday, 80% of which is exported to the U.S., the Associated Press reported.
Emily has forced the evacuation of 112 oil and natural-gas rigs and platforms in the Gulf, according to the latest Minerals Management Service report on Tuesday.
The move prompted the shut-in of 7.5%, or 113,115 barrels, of daily oil production in the region with 6.5% of daily natural-gas output in the Gulf also affected, the Service said.
More: marketwatch.com
Crude prices retreat as Hurricane Emily weakens
Crude oil futures declined on Monday amid easing concerns about disruption of production in Mexico due to Hurricane Emily.
The second hurricane of the season has so far missed some oil production facilities in the Gulf of Mexico but had threatened to disrupt output in Venezuela and Mexico itself.
But Emily weakened as it passed Mexico’s Yucatan Peninsula, to sighs of relief from traders. They had expected worse disruptions just when the global crude market has virtually no spare capacity.
By late morning in New York, West Texas Intermediate for August delivery was trading $1.09 lower
UPDATE 2-Mexico's Pemex resumes full production after Emily
Mexico resumed its full production of crude oil on Friday by bringing its wells in the Gulf of Mexico back on tap after they were closed by a powerful hurricane, state oil monopoly Pemex said.
Pemex slashed output and halted exports as Hurricane Emily pounded the Yucatan Peninsula and then moved into the Gulf of Mexico earlier this week.
The storm shut down 2.95 million barrels of day of crude oil as well as 1.87 million bpd of exports, the bulk of them to the United States.
Pemex typically produces about 3.4 million bpd of crude,
Hurricane Emily may hit eastern Mexico
authorities warned Thursday the inhabitants of Yucatan Peninsula, east of the country, about the possibility that hurricane Emily hits the area on Sunday.
The National Meteorological Service (SMN) said in a statement that Emily is in the Caribbean, 2,700 km off the Mexican littoral.
The hurricane has sustained gusts of wind of 160 km per hour, even reaching 185, with the possibility of further increasing.
The Civil Protection authorities told the inhabitants of the states of Quintana Roo, Campeche and Yucatan to
Oil Falls as Hurricane Concern Eases, Mexico May Resume Output
Crude oil declined for a fourth day in five as concern eased that Hurricane Emily will disrupt U.S. supplies and on expectations that Mexico will resume output from its biggest fields tomorrow.
Emily weakened to Category 1 and is headed for an area on Mexico's northeast coast where there are no oil platforms. Petroleos Mexicanos, Mexico's state-owned oil monopoly, said yesterday it expects production in the Campeche Sound will resume tomorrow after a three-day shutdown of 2.95 million barrels a day, or 86 percent of the country's output.
``I believe
Mexico breaks five-day losing streak; Brazil rises
Major markets in the Latin America closed higher Tuesday, boosted by a robust recovery in U.S. stocks that was fueled by falling oil prices.
Crude oil prices, which had strengthened on reports of an attack on the U.S. Embassy in Syria, fell below $64 a barrel as demand forecasts were revised lower.
In Mexico stocks broke a five-day losing streak. The key IPC index surged 489.88 points, or 2.4%, to 21,102.77.
More : marketwatch.com
Crude Oil Is Little Changed as U.S. Gulf of Mexico Output Drops
Crude oil was little changed, rebounding from the session's lows, after a government report showed that U.S. oil production fell in the Gulf of Mexico.
Oil production was 901,726 barrels below pre-storm levels, almost 5 percent more than reported yesterday, the Minerals Management Service said in a daily report. Prices declined earlier today on an Energy Department report that showed U.S. supplies of crude oil and petroleum products declined less than expected in the wake of Hurricane Katrina.
``There are obviously still some problems out in the Gulf,''
Crude oil rose to a record $68 a barrel in New York on concern that a storm may disrupt output in the Gulf of Mexico, where 30 percent of U.S. oil is produced.
Tropical Storm Katrina is forecast to reach hurricane strength before crossing Florida on Aug. 26 and moving into the U.S. Gulf, according to the Miami-based National Hurricane Center. Last year prices jumped at least $10 a barrel, or 22 percent, in the month after Ivan, a category-4 hurricane, swept through the area, cutting production and damaging rigs.
``We saw last year just how much oil shot
Brazil, Mexico markets fall, energy boosts Toronto
Brazilian stocks declined Friday, pulled down by a steeper-than-expected decline in U.S. industrial production, a fall in Brazilian retail sales and a growing aversion to risk among investors.
The benchmark Ibovespa index fell 0.4% to 29,772.
The announcement of a 1.3% drop in U.S. September industrial production, compared with a consensus estimate for a 0.4% decrease, dragged Brazilian share prices lower.
The stock market also had to digest a decline in Brazilian retail sales in August, down a seasonally adjusted 0.4% from July, according to data Friday from the Brazilian Census Bureau, or IBGE. It was
Mexico tourism rises despite hurricanes
Nearly 22 million foreign tourists visited Mexico last year, 6.5 percent more than in 2004, according to Tourism Department data.
The visitors spent a total of $11.8 billion in Mexico, the department said in a news release Saturday.
The rise in tourists came despite three ferocious hurricanes that hit last year.
Hurricanes Emily, Stan and Wilma struck the country between July and October, killing 75 people and causing $2.15 billion worth of damage.
Wilma smashed directly into Cancun, the nation's glitzy Caribbean resort, on Oct. 22, damaging hotels and clearing sand from some beaches.
More: mercurynews.com
Mexico halts all oil exports,most output, till Wed
Mexico's closure of most offshore oil production and ports mean the suspension of 2.95 million barrels per day (bpd) in output until midweek and the grounding of all exports, state oil monopoly Pemex said on Monday.
Pemex -- which normally produces 3.4 million bpd of crude -- said it would start restoring production on Wednesday and should be fully operational again on Friday, after shutting down most oil wells in the Campeche Sound, in the southern Gulf of Mexico, due to Hurricane Emily.
Pemex said port closures in the Gulf of Mexico meant it was
