March 8th, 2012

Gasoline futures advanced a second day, following Brent crude higher on optimism that Greece will be able to restructure without jeopardizing the region’s economic recovery and fuel demand.

Gasoline futures rose as Brent surged 1.1 percent. Investors with at least 60 percent of the Greek bonds eligible for the nation’s debt swap have so far indicated they’ll participate in the exchange. Economists in a survey by Bloomberg News forecast the U.S. Labor Department will report that employers boosted February payrolls.

“The products are being dragged up with Brent, which is up because of optimism about the Greek debt swap, as well as the perception that the job market in the U.S. is improving,” said Andy Lipow, president of Lipow Oil Associates LLC in Houston.

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November 14th, 2011

Gasoline futures slid to a five-week low as demand for the motor fuel dropped before the U.S. Thanksgiving holiday and refineries completed repairs and increased production.

Gasoline futures sank as consumption in the week ended Nov. 4, averaged over four weeks, was 5.6 percent below a year earlier, Energy Department data showed. Gasoline’s discount to heating oil was the widest in three years. Gasoline traded at a discount to London benchmark Brent crude, and its premium over West Texas Intermediate crude slipped to the lowest level in 11 months.

“We’re seeing the return of a couple of refining units on the Gulf Coast and supplies may be increasing as we head into the holidays,” said Andy Lipow, president of Lipow Oil Associates LLC in Houston. “In light of reduced demand, supplies appear to be adequate.”

Gasoline futures for December delivery fell 7.06 cents, or 2.7 percent, to $2.5332 a gallon at 11:35 a.m. on the New York Mercantile Exchange. It was the fifth straight decline and longest losing streak since Aug. 4. Prices touched $2.494, the lowest intraday price since Oct. 4.

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