New York – Oil prices slipped Monday when traders took profits after prices surged on fears that Iran might halt exports and after a cold front in the Northeastern United States was milder than expected.
Light, sweet crude for March delivery fell 26 cents to settle at $65.11 a barrel Monday on the New York Mercantile Exchange.
The contract had risen as high as $66.62 earlier in the day.
Iran said it would start uranium enrichment and bar surprise inspections of its facilities, and traders worried the dispute between the United Nations and Iran could disrupt supplies from OPEC’s second-largest oil producer.
Still, above-normal U.S. temperatures led traders to take profits – heating oil supply is ample and demand isn’t high.
“If it were cold outside, we’d be at $70 a barrel,” said Phil Flynn, analyst at Alaron Trading Corp. in Chicago.
“What’s been saving this market has been unseasonably warm temperatures. The warm temperatures have been keeping us well-grounded.”
