Prices until July; Energy costs decline

12:00 PM costs, decline, energy, prices, until No Comments

US producer prices rose in July at the fastest pace in five months on higher costs for light trucks, drugs and cigarettes, despite falling energy prices on subdued inflationary pressures.

On Tuesday, the Labor Department said that the seasonally adjusted producer price index climbed 0.3 percent last month. By Reuters respondents analysts expected that the index to increase 0.2 percent.

By gains in consumer goods, this increase is due with light truck by 1.6 percent and pharmaceuticals to 0.9 percent.

The increase in the overall index fueled higher food costs. U.S. cultures is struck by a drought in parts of the country.

Energy prices fell however 0.4 percent last month. They were down for the fifth straight month, in a trend that inflationary pressure was for most of last year cooling has. Wholesale dropped gasoline prices by 3.1 percent in July.

While overall inflation has cooled recently, underlying inflation at higher levels took place. Some policymakers at the Fed worry that further moves, to reduce borrowing costs could higher inflation, fuel pump, said even though the Central Bank was ready to it, do more to help the economy, if necessary.

The decline which should energy prices, the economy as lower costs for fuel and other input help leave more money for other things, such as equipment or even rent prices companies.

Copyright 2011 Thomson Reuters.

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Official: Libyan is not oil flow until war is over

12:53 PM Libyan, Official, until No Comments

BENGHAZI, Libya - Libya's largest oil company is production does not return until the war ended, and that probably applies to manufacturers nationwide, Director of the company information told the associated press on Sunday.

Abdeljalil Mohamed Mayuf, said the Arab Gulf Oil Co., responsible former production of 1.6 million barrels per day, stop pumps out of fear of further attacks by the forces of the embattled leader Moammar of Libya for more than a quarter of nepotism.

"Everything depends on security." "We can produce morning but our fields are being attacked would", Mayuf said in an interview. "We can no army to include every field." "We are not a military company and you of nepotism are everywhere."

He said they were in the 40 km from the South-Eastern fields to the Messla and Sarir.

"We can not say when we restart, because this military operation is dependent on and when is nepotism."

He said, the decision was made after April 4 seriously a pumping station and production facilities in the South-East of Messla oil field, followed missile attacks, a few days later, from hits on a damaged pump station half way along the 317-mile (510 km) pipeline from Messla to Tobruk port. Eight rebels as guards in second attack killed came, he said.

Nepotism slapped after the rebels just export oil had begun after a break of Weekslong due to of fight. 1 Million barrels of oil with the help of Qatar sold the rebels. The exports are to resources in the leader of the 42 years, the battle, which still controlled the Western half of the country.

After the attacks said rebel oil Chief Wahid Bugaighis for repairs to Messla would be completed in about three weeks be and they would return oil pumps.

Mayuf said Bugaighis "don't know what he is talking about."

Bugaighis told the AP on Saturday that he has no more authority in the rebel civilian National Transitional Council. Differences with Agoco apparently followed his resignation. The Council, a temporary storage of advanced on Friday announced but no substitute for Bugaighis call.

Although it is outside his fortune, voices Mayuf peaks countries that rebel officials to consider nepotism, partly because of the support are on Libya in the Security Council. "Countries such as China, India, Russia and Brazil has also a strange position, these people should be concerned about their interests in Libya, worried about what happens, if all is nepotism, Libya," Mayuf said. Oil, oil India, Russian Gazprom and Brazil's Petrobras have China investment in Libya.

About 80 percent are Libya's oil fields and facilities in the East of the country, which since the launch of citizens of the North-Eastern port of Benghazi of the revolt against nepotism under rebel control has come in the three months.

Mayuf said that the most oil fields in West Libya Western companies were carried out by Libya weeks, while the production in the Western Hamada control from the start of the uprising evacuated main areas. He said the Western refinery in RAS Lanouf with Agoco oil operated, so could not productive to Agoco work continues. Agoco provided about 15 percent of the fuel a small refinery in Zawiya, East of Tripoli, he said.

Agoco, which is the largest company in Libya to the production and the size of the reserves in the oil fields, skeletal staff to retains all of its facilities but only for the maintenance of the equipment, said Mayuf.

The company produced 425,000 barrels a day before the uprising, and then fell to 130,000 per day.

Mayuf said that Libyan oil executives long suspected that figure of 1.6 million barrels per day reached official production of nepotism regime been. "they have been using this number for the last three years, but we know production has increased and many of us suspect it was closer to 2 million (barrels) per day," he said.

He speculated that extra 300,000 to 400,000 barrels of Libyan sweet was on the spot market, nepotism and sold to benefit a small elite clique. There was no way to verify, Mayuf of the speculation.

Libya produces only a fraction of world production, with the most to Europe exports, but spreading to other oil-producing Arab countries fear a similar riots caused world oil prices to rise.

Libya has the largest proven oil reserves in Africa, an estimated 46.4 billion barrels as of January 2011, depending on the oil and gas journal.

In the middle of gas shortages and long lines, the rebel National Transitional Council citizens over gas pushing a declaration Saturday, so that fuel in particular provides besieged port of Misratah where rockets set the main fuel supply depot in flames last week to save in all liberated Libya.

Copyright 2011, the associated press. All rights reserved. This material may not be published, broadcast, rewritten or distributed.

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