*OIL FUTURES: Oil Pushes Lower, Nymex Crude Nears $94/Bbl – Dow Jones

Published on 15 December 2011 by cwhornsby in Hornsby Energy Trading

NEW YORK (Dow Jones)–Oil futures turned lower, pushing deeper into negative territory a day after their 5% plunge, as equities pared their earlier gains.

Light, sweet crude for January delivery fell 75 cents, or 0.8%, to $94.20 a barrel on the New York Mercantile Exchange. Brent crude on ICE Futures Europe remained higher, trading up 38 cents, or 0.4%, to $105.40 a barrel.

Light, sweet crude for January delivery fell 75 cents, or 0.8%, to $94.20 a barrel on the New York Mercantile Exchange. Brent crude on ICE Futures Europe remained higher, trading up 38 cents, or 0.4%, to $105.40 a barrel.

Futures lost their earlier momentum after U.S. stock markets pulled back from their earlier highs. Crude futures have been taking cues from equities for the last several months, as traders turn to stocks as a barometer of sentiment on the broader U.S. economy.

Futures lost their earlier momentum after U.S. stock markets pulled back from their earlier highs. Crude futures have been taking cues from equities for the last several months, as traders turn to stocks as a barometer of sentiment on the broader U.S. economy.

The Dow Jones Industrial Average was recently up 0.5%, at 11887.1, after earlier climbing as high as 11,967.8.

The Dow Jones Industrial Average was recently up 0.5%, at 11887.1, after earlier climbing as high as 11,967.8.

“We’re just bouncing back and forth,” said Fred Rigolini, vice president of Paramount Options, an oil options brokerage in New York, adding that the pullback in equities was a factor behind the turn lower. “For now, we’re just following that.”

“We’re just bouncing back and forth,” said Fred Rigolini, vice president of Paramount Options, an oil options brokerage in New York, adding that the pullback in equities was a factor behind the turn lower. “For now, we’re just following that.”

Nymex crude had earlier climbed as high as $95.99 a barrel before pulling back, lifted by a slew of positive economic data out of the U.S.

Nymex crude had earlier climbed as high as $95.99 a barrel before pulling back, lifted by a slew of positive economic data out of the U.S.

Jobless claims fell 19,000 last week to a seasonally adjusted 366,000, their lowest level since May 2008, the Labor Department said Thursday. The data were the latest signal that the sluggish U.S. labor market is picking up, and comes on the heels of a report earlier this month that unemployment in November fell below 9%.

Jobless claims fell 19,000 last week to a seasonally adjusted 366,000, their lowest level since May 2008, the Labor Department said Thursday. The data were the latest signal that the sluggish U.S. labor market is picking up, and comes on the heels of a report earlier this month that unemployment in November fell below 9%.

Meanwhile, both manufacturers and nonmanufacturers see the U.S. recovery continuing in 2012, a semiannual outlook from the Institute for Supply Management said, adding that U.S. manufacturers expect revenue to grow 5.5% next year.

Meanwhile, both manufacturers and nonmanufacturers see the U.S. recovery continuing in 2012, a semiannual outlook from the Institute for Supply Management said, adding that U.S. manufacturers expect revenue to grow 5.5% next year.

Traders have been closely following headlines on the U.S. economy for hints that growth is picking up again and oil demand is recovering. The tepid recovery has kept a lid on oil demand for much of this year, as fewer workers hit the road every morning and fewer travelers take vacations.

Traders have been closely following headlines on the U.S. economy for hints that growth is picking up again and oil demand is recovering. The tepid recovery has kept a lid on oil demand for much of this year, as fewer workers hit the road every morning and fewer travelers take vacations.

Similar concerns have kept traders glued to developments in Europe, where worries about the sovereign debt crisis have sent currency traders dumping the euro in favor of the dollar and also prompted concerns about weakening oil demand.

Similar concerns have kept traders glued to developments in Europe, where worries about the sovereign debt crisis have sent currency traders dumping the euro in favor of the dollar and also prompted concerns about weakening oil demand.

On Wednesday, a plunge in the euro below $1.30 and a stronger dollar battered oil prices. A strengthening greenback typically weakens oil prices by making the dollar-denominated commodity more expensive for holders of other currencies.

On Wednesday, a plunge in the euro below $1.30 and a stronger dollar battered oil prices. A strengthening greenback typically weakens oil prices by making the dollar-denominated commodity more expensive for holders of other currencies.

The single currency, however, found some stability Thursday, rallying 0.2%, to $1.3046.

The single currency, however, found some stability Thursday, rallying 0.2%, to $1.3046.

Front-month January reformulated gasoline blendstock, or RBOB, recently traded up 0.44 cent, or 0.1%, to $2.5081 a gallon. January heating oil advanced 1.29 cents, or 0.5%, to $2.8428 a gallon.

Front-month January reformulated gasoline blendstock, or RBOB, recently traded up 0.44 cent, or 0.1%, to $2.5081 a gallon. January heating oil advanced 1.29 cents, or 0.5%, to $2.8428 a gallon.