Oil falls as fears about Gulf flooding ease

AP News
Posted: May 16, 2011 10:30 AM
Oil falls as fears about Gulf flooding ease

Oil is falling as fears ease that Gulf Coast refineries may be affected by flooding.

Benchmark oil for June delivery fell 89 cents to $98.76 a barrel in Monday morning trading on the New York Stock Exchange.

In London, Brent crude for June delivery fell 33 cents to $112.98 on the ICE Futures exchange.

Over the weekend the Army Corps of Engineers opened two massive gates at the Morganza spillway in an effort to protect Baton Rouge, La., and New Orleans from Mississippi River floodwaters.

Meanwhile, gas pump prices are beginning to fall with oil lower. The national average is $3.955 a gallon for regular. That's still nearly 14 cents more than a month ago but down about half a cent from a week ago.