Oil Falls For Second Day, Valero Profits Up

"Oil Falls a Second Day on Concern Swine Flu Will Curb Fuel Use"
Crude oil fell for a second day on concern that fuel demand will drop as the swine-flu outbreak curtails travel and delays a recovery from the global recession.

Oil, gold and copper declined as the World Health Organization raised its global pandemic alert to the highest since the warning system was adopted in 2005, saying the disease is not containable. Crude rose in eight of the past 10 weeks as the stock market climbed on speculation that the economy and energy consumption would rebound later this year.

“There’s a potential that a swine-flu outbreak will crimp economic growth,” said Rick Mueller, a director of oil markets at Energy Security Analysis Inc. in Wakefield, Massachusetts. “There’s also recognition that the recent rally was overly optimistic. Demand isn’t recovering.....Complete Story

"OPEC Oil Price Eases Early In The Week"
The price for oil produced by the Organization of the Petroleum Exporting Countries (OPEC) shed nearly $0.80 Monday, the group announced Tuesday.

After rising to just below the 50 dollar mark at the end of last week, one barrel (158 liters) of OPEC crude oil fell by $0.76 to settle at $49.21 on Monday.

The Vienna based organization calculates a basket price based on 12 brands produced by its members.....Complete Story

"Valero Energy Profit Rises on Higher Refining Margins"
Valero Energy Corp., the largest U.S. oil refiner, said first-quarter profit rose 18 percent on increased margins for processing crude into gasoline and other petroleum products.

Net income rose to $309 million, 59 cents a share, from $261 million, or 48 cents, a year earlier, San Antonio-based Valero said today in a statement. The per-share results beat by 9 cents the average of 18 analyst estimates compiled by Bloomberg. Sales fell 50 percent to $13.8 billion.

Valero benefited from lower costs and a rebound in gasoline prices as U.S. refiners cut processing rates faced with reduced fuel demand in an economy hobbled by recession. The company earned an average of $8.77 for each barrel of oil it processed in the first quarter.....Complete Story


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