NYMEX-Crude down nearly 3 pct as inventories rise

NEW YORK, Nov 12 (Reuters) - U.S. crude futures were nearly
3 percent lower in late trading on Thursday as government data
confirmed an industry report earlier this week that domestic
crude and refined product inventories rose last week.

Heating oil and gasoline futures were down about 3 percent
as well, with heating oil taking the brunt as weekly data went
against forecasts for a drawdown in distillates, which include
heating oil and diesel fuel.

"The EIA report showing refinery utilization is down to
79.9 percent of capacity is a sign of very poor refinery demand
for oil," said Phil Flynn, analyst at PFGBest Research in
Chicago. "Crude futures are down on the strong dollar and as
the market's anticipation that the API data earlier this week
would be confirmed by the EIA report proved to be correct."

The dollar rallied broadly in technical trading after data
showed jobless benefit claims were lower than expected, helping
pressure crude futures. [USD/] [ID:nLC523218].

The stronger dollar weighed on Wall Street's commodity
shares, threatening to snap a six-day winning streak for the
the Dow Jones Industrials Average .DJI. [.N]

The EIA inventory report was delayed a day due to the
federal Veterans Day holiday on Wednesday. The industry group
American Petroleum Institute issued its report on Tuesday as
scheduled.

PRICES

* On the New York Mercantile Exchange at 2 p.m. EST (1900
GMT), December crude CLZ9 was down $2.22, or 2.8 percent, at
$77.06 a barrel, trading from $76.56 to $79.69.

* In London, December Brent crude LCOZ9 was off $1.85, or
2.37 percent, to $76.10 a barrel, trading from $75.63 to
$78.26.

* NYMEX December RBOB RBZ9 was down 5.59 cents, or 2.81
percent, to $1.9368 a gallon, trading from $1.9214 to $2.0058.

* NYMEX December heating oil HOZ9 dropped 6.20 cents, or
3.02 percent, to $1.9938 a gallon, trading from $1.9796 to
$2.0606.

* The December/December RBOB crack spread <0#RB-CL=R> was
at $4.29, after ending at $4.41 on Wednesday. The
December/December heating oil crack spread <0#CL-HO=R> was at
$6.68, after ending at $7.06 on Wednesday.

* The spread between the current front month and the
five-year forward crude contract CLc61 was at $15.18, based
on the December 2014 contract Wednesday settlement at $92.24.
The spread ended Wednesday at $12.96.

TECHNICALS

NYMEX crude 10-day/20-day moving average: $78.72/$79.21

Technical support/resistance:

NYMEX crude: $77.92/$81.00

NYMEX heating oil: $2.0090/$2.10

NYMEX RBOB: $1.95/$2.00

For a full report on technicals, click on [ID:nLC471463]

MARKET NEWS

* Domestic crude inventories rose 1.8 million barrels to
337.7 million barrels in the week to Nov. 6, EIA data showed.
That's slightly less than the API's report of a 1.2 million
barrel increase but far greater than the forecast for just a
600,000 barrel build in a Reuters poll. [EIA/S]

* Stocks at the NYMEX delivery point at Cushing, Oklahoma,
rose 1.5 million barrels to 17 million barrels.

* Distillate stocks rose 300,000 barrels to 167.7 million
barrels, lower than the API's report of a 640,000 barrel build
but against the forecast for a 700,000 barrel decline.

* Gasoline stocks rose 2.5 million barrels to 210.8 million
barrels, nearly twice the API's 1.4 million barrel build, but
against the forecast for stocks to have been unchanged.

* Refinery utilization fell 0.7 percentage point, to 79.9
percent of capacity, the lowest since utilization logged in at
72.3 percent of capacity in the week to Sept. 26, 2008.

* Mexico reopened three of its main oil exporting ports in
the Gulf of Mexico on Thursday, after they were closed due to
bad weather. [ID:nN12416973]

* Fourth-quarter world oil demand will be higher than the
year-ago period, the first time demand has risen year-on-year
since the second quarter of 2008, the International Energy
Agency said on Thursday. [ID:nLC090947]

* U.S. Northeast temperatures were expected to be near or
above normal for the next 10 days, private forecaster DTN
Meteorlogix said. [ID:nDTN482]

* The Louisiana Offshore Oil Port said Thursday it had
resumed tanker unloading, after rough seas had forced it to
stop on Sunday ahead of Tropical Storm Ida. [ID:nN12101490]
(Reporting by Gene Ramos and Robert Gibbons)