Crude futures in the United States rose on Tuesday morning after Gulf of Mexico refineries were slowly reopening. Forced outages due to Hurricane Harvey increased demand.
U.S. West Texas Intermediate (WTI) crude added about 11 cents to it value and settled at $47.70 per barrel. Gasoline, in contrast, fell by 3.5 percent from the previous session, from $2.17 per gallon on August 31 to 1.69 per gallon today. Refineries resuming operation helped mitigate concerns regarding shortage.
Global benchmark for oil, Brent crude futures, slipped by 13 cents to trade at $52.21 per barrel. Looking for safe-haven assets (in light of the crisis in the North Korean Peninsula), investors were pulling money out of oil in favor of gold.
Asian markets unsuccessfully struggled to open on a positive note on Tuesday after North Korea’s recent nuclear test prompted global investors to buy safe-haven assets instead of stocks.
Japanese benchmark Nikkei 225 index edged down more than 0.15 percent. The Aussie ASX 200 index dropped by 0.58 percent as it was pulled down by its utilities and energy sub-indexes.
Meanwhile across the Korean Strait, the Kospi index was an exception. It managed to go higher by 0.1 percent during early trade.