Oil, Gold Prices Rise After Paris Attacks As Global Risks Push Investors

He said the lower inventory level is giving a few support to prices, though prices are likely to be range-bound through the rest of the week as the overall mood is bearish because of a supply overhang.

The decline in wholesale gas prices, which tend to follow the same trajectory as the oil market, have also not been matched by energy suppliers.

“We estimate crude oil production from USA shale fields will fall just 2,5% (in Q4)”, the bank said, adding that this was a result of falling shale production costs and healthy refined oil product sales.

NEW YORK-Oil prices briefly dropped below $40 a barrel Wednesday before settling higher as the dollar pared gains.

The American Petroleum Institute, an industry group, said on Tuesday that U.S. crude stockpiles fell last week by 482,000 barrels due partly to higher refinery runs.

Isis claimed responsibility for the co-ordinated attacks on public spaces that claimed 120 lives in Paris on Friday evening. Alan Bollard, executive director for the Asia-Pacific Economic Cooperation, was quoted as saying by China’s official Xinhua News Agency that growth was apparent, but it was anemic.

On the NY Mercantile Exchange (NYMEX), prices of West Texas Intermediate (WTI) crude oil futures for December’s delivery increased by 99 cents to $41.73 per barrel in the Globex electronic session.

A poll of eight analysts predicted a crude stock build of 1.9 million barrels on average in the week ended November 13. “I think we saw a little bit trying to be priced in but you continue to see weak fundamentals”, said McGillian.

The IEA’s latest market report renewed concerns over the global supply overhang that has driven a 60 per cent collapse in oil prices since past year.

Internationally traded Brent crude futures were up 16 cents at $44.72 a barrel.

Gasoline stockpiles unexpectedly rose in the week, while supplies of distillates, including diesel fuel and heating oil, fell more than expected.

Gold prices have inched higher after tapping a almost six-year low as the market reacted to the minutes of a recent US Federal Reserve meeting that gave mixed signals about a possible rate rise in December.

It pointed out in a commentary that the global market remains oversupplied, crude inventories in developed countries are at record levels and there is no direct threat to Middle East oil facilities and transit points.