Oil Prices Fall in Early Trading on Friday

Oil prices fell more than $2 today as traders reacted to the news that Hurricane Rita had weakened to a Category 3 storm. Traders also reacted positively to the news that Rita was expected to make landfall around Houston, away from the majority of Texas’ refining operations. Oil is currently priced at $64 per barrel. In related news, the International Energy Agency announced that it could order another release of oil to help the US oil industry. The question that remains is how quickly the refineries that were shut down in anticipation of Hurricane Rita can be brought back online. That will ultimately decide oil prices for the foreseeable future.