Oil prices up as U.S. supplies fall
Stockpiles drop for third week in a row
Slumping supplies of U.S. crude oil sent oil up nearly $1 per barrel on Wednesday to its highest price in three months.
Benchmark oil rose 90 cents to finish at $94.33 per barrel Wednesday in New York, its highest level since mid-May.
Gasoline prices usually follow the oil market. In metropolitan Memphis, unleaded regular gasoline averaged $3.40 per gallon at service stations on Wednesday, even with Tuesday, and up from $3.03 one month ago, reported insurer AAA’s fuel price monitor.
In Washington, the Energy Department reported stockpiles fell 3.7 million barrels last week to 366.2 million barrels. Analysts had predicted a decline of 1.5 million barrels, according to Platts, the energy information arm of McGraw-Hill.
It marked the third consecutive large weekly decrease in oil supplies. Still, analysts point to production problems and seasonal factors more than increased demand for the declines. But with supplies still above normal for this time of year, any decrease tends to cause a rise in oil prices.
Oil production has been affected by a number of issues this month, including refinery and pipeline problems in the Midwest and California. Tropical storms have moved through the Gulf of Mexico, closing some oil rigs and slowing oil tankers destined for U.S. ports.
In addition, refiners are selling off inventories to avoid a surplus when they switch to processing winter blends of fuel next month.
Vicki Cox, executive director for Open Arms Care Corporation — Memphis Operations, has been appointed by the board of directors of the Tennessee Center for Performance Excellence (TNCPE) to the 2012 Board of Examiners.
Vallary Bingham has joined Arkansas State University in Jonesboro as the coordinator of the Center for Learning Support Services. The following with the university have Memphis Breakfast Club: 7 a.m., The Racquet Club of Memphis, 5111 Sanderlin. Speaker: County Mayor Mark Luttrell. Topic: The State of Shelby County. Fee: $12. For information, e-mail medwards@bankofbartlett. com. received new positions: Dr. Gina Hogue, interim associate vice chancellor for academic services; Dr. Jill Simons, executive director of University College; Melissa Jackson, director of advising services in University College; Dr. Donald “Bud” Kennedy, interim dean of the College of Agriculture; Dr. Larry Salinger, interim chair of the Department of Criminology, Sociology and Geography, and Jeff Bailey, director of the Dean B. Ellis Library. luncheon: 11:15 a.m., noon (program begins), 2511 Church, Byhalia, Miss. Fee: $10, $5 for members. Breakfast Briefing: What’s New at the EEOC: 8 a.m. (registration), 8:30 a.m. (program), Baker Donelson, 165 Madison. To register, e-mail rsvp@bakerdonelson. com.