Brent crude falls $1.30 per barrel

Oil prices were down during the day on Tuesday, as weather predictions continued to say that mild conditions will continue over much of the United States.

Meanwhile, investors seemed to spend little time thinking about what could happen to oil supplies next year if the tensions between Iran and the west over Iran’s nuclear program continue. Iran was expected to reach a decision during the day on whether to halt cooperation with the International Atomic Energy Association after the UN passed economic sanctions against that nation in an effort to persuade it to halt or scale back its enrichment of nuclear fuel.

Uncertainty also continued over the latest decision by the Organization of Petroleum Exporting Countries to cut oil production by member nations by another half-million barrels beginning in February.

Brent crude for February delivery dropped $1.30 to $61.12 per barrel, while February contracts for West Texas Intermediate crude dropped $1.11 to $61.30 per barrel on the New York Mercantile Exchange. Nymex heating oil was 1.17 cents lower to $1.6703 per gallon.