Saturday, December 29, 2012

Oil prices rise ahead of US fiscal-cliff talks

BANGKOK (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 40 cents midday Bangkok time to $91.27 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 rose 1.2 cents to $2.8334 a gallon.

? Brent crude, used to price various kinds of foreign oil, rose 48 cents to $111.28 per barrel in London.

? Heating oil rose 0.3 cent to $3.0522 a gallon.

? Natural gas lost 1.3 cents to $3.399 per 1,000 cubic feet.

Source: http://news.yahoo.com/oil-prices-rise-ahead-us-fiscal-cliff-talks-065138232--finance.html

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