Oil Extends Drop After Jump in Inventories: Commodities at Close - Bloomberg

The Standard & Poor’s GSCI gauge (SPGSCI) of 24 commodities fell 0.6 percent to 666.29 as of 5:01 p.m. in London. The UBS Bloomberg CMCI index (CMCIPI) of 26 raw materials was down 1.1 percent at 1,542.975.

CRUDE OIL Oil extended declines after a U.S. government report showed an unexpected increase in inventories. Crude oil for February delivery fell $1.19, or 1.2 percent, to $102.03 a barrel on the New York Mercantile Exchange. Oil traded at $102.69 before the release of the report at 11 a.m. in Washington, a day later than usual because of the New Year’s Day holiday. It reached an intraday low of $101.95 after the report was released.

NATURAL GAS Natural gas futures fell in New York after a government report showed a smaller-than-average drop in U.S. stockpiles. Natural gas for February delivery declined 5.5 cents, or 1.8 percent, to $3.041 per million British thermal units on the New York Mercantile Exchange. Gas has declined 32 percent from a year ago.

United Matches Delta in Adding $3 Fee to Cover Europe Emissions - Bloomberg

United Continental Holdings Inc. (UAL) added a $3 one-way fee on flights from the U.S. to Europe, matching an earlier charge by Delta Air Lines Inc. (DAL), as carriers absorb the cost of new European emissions rules. United added the fee yesterday, said Mike Trevino, a spokesman for the Chicago-based carrier. Delta initiated its charge Jan. 2, spokesman Trebor Banstetter said. The International Air Transport Association, a trade group that represents major global carriers, estimates the European emissions rules could cost airlines 900 million euros ($1.2 billion) this year and 2.8 billion euros by 2020. The European emissions trading system puts pollution quotas on thousands of utilities and manufacturers, and allows companies that produce less carbon dioxide than their quota to sell the surplus to others who exceed their limits. United Continental fell 1.5 percent to $18.24 at 2:32 p.m. in New York. The shares fell 21 percent last year. Delta rose 2.6 percent to $8.22. It dropped 36 percent in 2011.

Utility buying supports EUAs after 10 percent drop

European carbon rose on Thursday, gaining as much as 5 percent at one point, as utilities and financials bought EU Allowances (EUAs) following a 10 percent drop in prices over the past two sessions.

CCAs sink 7 percent as trading surges

Trading volumes of California carbon allowances (CCAs) for delivery in 2013 set a new daily record Thursday as prices fell $1.10/t from last week's settlement price to land at $15.40/t, market sources said.