NYMEX light crude prices choppy, edges up on Iran tensions

NYMEX light crude oil futures seesawed near unchanged on Monday, lifted by concerns and tensions about Iran’s nuclear row with the West and supported by news that part of the Houston Ship Channel was shut after an oil spill.

Sources also noted that failure to take out Friday’s $65.05 intraday low in early Monday trading provided some technical lift. The US dollar pared its losses against the yen and rose against higher-yielding currencies including the euro after earlier weakness in global equities.

Crude oil demand has yet to recover substantially from the economic crisis, the head of the IEA said on Monday, although lack of investment could lead to a medium term supply crunch.

Jewish observances and resulting lower trading volume on Monday, ahead of Wednesday’s end of the third quarter, could provide some volatility in the oil futures market.

On the New York Mercantile Exchange at 9:54 a.m EDT November crude CLX9 was up 44 cents, or 0.67 percent, at $66.46 a barrel, trading from $65.41 to $66.66.