U.S. Oil Prices Hit 5-Month Low

May 25, 2010

With fuel prices still a major concern for fleets, there is some good news regarding the cost of oil, according to this report from Business Fleet:

U.S. oil prices fell for a fifth straight session and settled at a five-month low on May 17. U.S. crude for June delivery fell $1.53 to settle at $70.08.

Stockpiles of crude at Cushing, Okla., the delivery hub for the U.S. contract’s West Texas Intermediate benchmark crude, have risen in the last eight weeks to a record high 37 million barrels, pushing front-month U.S. crude down relative to later futures contracts and the other global crude benchmark, Brent.

The market will get the weekly U.S. oil inventory snapshots from industry and government, starting with the American Petroleum Institute’s report on Tuesday afternoon.

Analysts surveyed by Reuters on Monday expected crude oil and distillate stocks to have increased last week, while gasoline stocks were expected to have declined.

Photo courtesy of ezioman under the Creative Commons License