Oil flat despite US, China factory strength

Published on NewsOK Modified: July 1, 2014 at 3:35 pm •  Published: July 1, 2014

The price of oil held steady Tuesday despite signs that manufacturing activity grew in the U.S. and China, the world's two biggest oil consumers.

Benchmark U.S. crude for August delivery fell 3 cents to close at $105.34 a barrel in New York. It is the fourth day in a row of declines and the sixth decline in the last seven trading days. The contract closed at a 10-month high of $107.26 on June 20.

Brent crude, a benchmark for international oils used by many U.S. refineries, fell 7 cents to close at $112.29 a barrel in London.

Manufacturing activity in China, the world's biggest oil importer, grew in June for the first time in six months, according to a private survey. Manufacturing activity in the U.S., the world's biggest oil consumer, grew in June for the 13th-straight month, though the pace of the expansion slowed from May.

It wasn't enough to push the price of oil higher, which suggests oil supplies may be ample enough to meet even rising global demand and prices could be headed lower.

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