Bloomberg News

Crude Trades Near Four-Day Low After Reports of Qaddafi’s Arrest

October 20, 2011

Oct. 20 (Bloomberg) -- Oil traded near its lowest in four days in New York, giving up gains following reports that deposed Libyan leader Muammar Qaddafi was arrested by rebel forces.

West Texas Intermediate crude was little changed on the New York Mercantile Exchange, erasing an earlier gain of 1 percent. Prices had risen on speculation European Union leaders will reach agreement on enhancing their rescue fund. Libyan ruling council fighters captured Qaddafi in his hometown of Sirte, Al Jazeera television reported, citing unidentified people.

“These are political markets right now,” said Carsten Fritsch, an analyst in Frankfurt at Commerzbank AG. The bank was the fourth most-accurate forecaster of Brent prices in the third quarter. “Risk aversion is back.”

Crude for December delivery on Nymex, the most-actively traded contract, was down 10 cents at $86.19 a barrel as of 12:38 p.m. London time. The contract earlier rose 1 percent to $87.12. Brent crude for December settlement was up 0.4 percent at $108.85 a barrel on the ICE Futures Europe exchange in London, paring an earlier 1.2 percent gain.

--Editors: John Buckley, Rachel Graham

To contact the editor responsible for this story: John Buckley at johnbuckley@bloomberg.net


Steve Ballmer, Power Forward
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus