News Briefs - March 18
The Latest Headlines:
- Gasoline, Oil Prices Close Lower on Nymex
- Leading Senate Democrat Calls for Tapping of SPR
- Housing Starts Fall in February
- MAN Commercial Vehicles Narrows Loss
- Raba CEO to Face Shareholder Challenge
- Leading Senate Democrat Calls for Tapping of SPR
Gasoline, Oil Prices Close Lower on Nymex
The price of gasoline and crude oil fell sharply throughout the day Tuesday and closed off their recent highs, Bloomberg reported.Gasoline prices fell 6.52 cents a gallon to close at 96.19 cents on the New York Mercantile Exchange – the commodities lowest close since Feb. 3.
Also on the Nymex, crude oil prices fell $3.28 a barrel to $31.65, Bloomberg said. Since it reached a 12-year high of $37.83 a barrel on March 12, crude oil prices have fallen 16.3%.
Leading Senate Democrat Calls for Tapping of SPR
Sen. Jeff Bingaman (D-N.M.), the ranking Democrat on the Senate Energy and Natural Resources Committee, said that the Bush administration should authorize the immediate release of as much as 750,000 barrels of oil a day from the Strategic Petroleum Reserve, Bloomberg reported.In a press release, Bingaman said that if war breaks out, Iraqi oil production and perhaps even some Kuwaiti production will cease and the U.S. should preemptively inject oil into the system, Bloomberg reported.
Bingaman’s plan would allow oil companies to withdraw as much as 750,000 barrels of oil a day, in exchange for a fee and future price differential for leasing the oil, Bloomberg said. The oil, according to Bingaman’s plan, would be replaced within six to 12 months.
Democrats in Congress have made several calls, along with many industry leaders, to tap the SPR to help relieve rising oil prices, Bloomberg said. Transport Topics
Housing Starts Fall in February
The Commerce Department said Tuesday that new housing starts fell to 1.62 million in February from a revised 1.82 in previous month.Housing starts can be a strong indicator for demand for trucking services because trucks haul construction goods to build homes with and appliances, furniture and other goods to fill those new homes with.
The 11% decline in housing starts was biggest decline since January 1991, Commerce said. Transport Topics
MAN Commercial Vehicles Narrows Loss
MAN AG said its commercial vehicles unit said it cut its 2002 net loss after it slashed jobs and made its bus division more profitable, Bloomberg reported Tuesday.During 2002, the German manufacturer lost $18 million, down from the $38.2 million the company lost in 2001.
The company said sales fell 3% last year to $7 billion while new orders rose 4% to $6.9 billion, Bloomberg reported. Transport Topics
Raba CEO to Face Shareholder Challenge
Laszlo Steiner, chief executive officer of axle maker Raba Rt., will be challenged by the Hungarian company’s largest shareholder, Bloomberg reported Tuesday.Bloomberg, citing the MTI news agency, said that the city of Gyor – the largest stakeholder in Raba – wants to replace Steiner at the company’s shareholders’ meeting in April. Gyor owns 11.2% of Raba, Bloomberg said.
The truck part and axle maker has been laying off workers and closing facilities in recent months to help stem the tide of losses, Bloomberg said. Transport Topics
