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Latest Business News

Oil Prices Settle at 2-Month High

Monday, February 26, 2007 6:50:00 PM
By LAUREN VILLAGRAN

NEW YORK (AP) - Oil prices settled at their highest level in more than two months on Monday as snowy weather in the United States spurred expectations for strong heating oil demand.

A winter storm dumped as much as two feet of snow in the Midwest, grounding hundreds of airline flights and closing major highways. The National Weather Service also reported that more than a foot of snow blanketed parts of the Northeast, the country's largest heating oil market.

Several analysts are forecasting a decline in stockpiles of heating oil when the government issues its weekly inventory report on Wednesday, said Jason Schenker, an economist with Wachovia Corp. However, Schenker said he expects the drop to be much smaller compared with the prior week.


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