WTI drops 40 cents per barrel

Price for oil and natural gas fell again on Wednesday ahead of weekly US inventory figures, due on Thursday. The price declines came as forecasts continue to look for mild weather in the US which has led to lower demand for heating oil. While the stockpiles data are expected to show that crude oil inventories are down, gasoline and distillate inventories are widely expected to be up.

Brent crude February contracts were 12 cents lower in London to $60.98 per barrel, while February delivery West Texas Intermediate crude dropped 40 cents to $60.70 per barrel on the New York Mercantile Exchange. Heating oil was lower by just under one cent to $1.6205 per gallon, but Nymex unleaded gasoline was 2.84 cents higher to $1.60 per gallon. Natural gas, meanwhile, fell 32.3 cents to $5.70 per 1,000 cubic feet.