Posted: Aug 29, 2012 10:38 AM
Source: Associated Press
NEW YORK - The price of oil is dropping after U.S. crude oil supplies rose last week for the first time in a month.
Offshore oil facilities appeared to have incurred little impact from Hurricane Isaac as it swept through the Gulf of Mexico into Louisiana. That also depressed oil prices.
Benchmark oil fell $1.12 to $95.21 Wednesday in New York. Brent crude dropped 40 cents to $112.18 per barrel.
The government says crude inventories increased 3.8 million barrels to 364.5 million barrels last week. Analysts surveyed by Platts predicted supplies would drop by 2 million barrels.
Nearly 94 percent of Gulf oil production was shut ahead of Isaac's arrival.
Isaac's impact is being felt at the pump however because some refineries are shut. Retail gas rose 4.8 cents to $3.80 per gallon.