Oil Markets Come Back Down as Investors Focus on U.S. Government Shutdown

by Nick Bond, KPI Bridge Oil
Thursday October 3, 2013

Oil markets came back down today, as investors' attention returned to focus on the shutdown of the United States government and news from the Institute for Supply Management.

Prices retracted after a meeting yesterday between Obama and congressional leaders failed to reach some sort of agreement on the budget and the debt ceiling limit, which spooked many that demand for crude might fall if a shutdown continues. 

Further pressure on WTI came as the ISM reported that U.S. services industries expanded in September at a slower pace than forecast. 

Brent drops were limited, however, as news reports stated that China's services sector expanded at the fastest pace in six months, possibly a good sign for China's oil demand to come.

WTI dropped $0.79 to settle at $103.31/bbl, while Brent only came down $0.19 to end the session at $109.00/bbl. Bunker prices were stable in the primary ports.

About KPI Bridge Oil

KPI Bridge Oil is one of the world's leading international bunker broking and trading firms. With a network of offices that covers every major time zone, we have an in-depth knowledge of ports and bunker markets around the world. Our access to real-time market information and long-established credit lines with suppliers means we use our buying power in the right place and at the right time. All this ensures our customers enjoy competitive prices - and on favourable terms.

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