December crude oil prices traded lower throughout the session and fell to their lowest level since July 2nd (below 84.66). The market managed to pare some of its earlier deficit in response to a better than expected October Non-Farm Payroll report, but that seemed fleeting. Some traders remained concerned over slowing economic growth, uncertainty ahead of next week's presidential election and ongoing fallout from Hurricane Sandy. Another drag on the crude oil market throughout the session was the strength in the US dollar.
Main reason is the strength of the US dollar today.
When things settle down, hurricane Sandy will stimulate the economy in the Northeast. The cost to rebuild will be huge and require a lot of energy.
Oil Prices - Nov 2
Oil Prices - Nov 2
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group