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Crude Oil Rises As U.S. Rig Count Tumbles

Crude oil futures rose Friday after an industry report showed the U.S. rig count fell for a third consecutive week.

Baker Hughes reported that the number of active U.S. rigs drilling for oil fell by 7 to 736 this week. The total active U.S. rig count, which includes oil and natural-gas rigs, also dropped by 15 to 913.

The trend signals that U.S. oil companies are losing patience with low oil prices stuck near $50 a barrel.

Dec. WTI oil settled at $51.84/bbl, up 33 cents, or 0.6%. Nov. WTI oil was up 18 cents, or 0.4%, to settle at $51.47/bbl on expiration day. The Nov. WTI contract ends nearly flat for the week.

In economic news, the National Association of Realtors released a report on Friday showing an unexpected rebound in existing home sales in the month of September.

NAR said existing home sales climbed by 0.7 percent to an annual rate of 5.39 million in September from a rate of 5.35 million in August. Economists had expected existing home sales to see further downside and drop to a rate of 5.30 million.

The material has been provided by InstaForex Company – www.instaforex.com