We have all been excited the last several days about the prospect of cheaper gasoline prices in the months ahead.
Well, Not so fast. What goes down, usually comes back up...
Oil rises on better US manufacturing, housing data
The price of oil rose on some welcome news about U.S. manufacturing production and home sales.
Benchmark crude rose $1.29 to $80.64 per barrel in New York. Brent crude, which is used to price international varieties of oil, gained 61 cents to $93.63 per barrel in London.
The Commerce Department said factories received more orders in May for long-lasting manufactured goods such as heavy machinery, computers and communications equipment. Oil and other energy products benefit from stronger manufacturing because they are used to help make and ship goods.
The report helped ease recent concerns about slower factory production in the U.S.
Separately, the National Association of Realtors said that Americans signed more contracts to buy previously occupied homes in May, which matched the fastest pace in two years. It follows other recent data that shows steady improvement in the housing market this year.
"Once again, U.S. economic data is confounding the critics," Price Futures Group oil analyst Phil Flynn said. "Maybe the economy isn't so dreary."