MARKET TALK: Tropical Wave A Bigger Issue For BP Than Oil

23rd Jun 2010 15:40

10:40 (Dow Jones) There's a storm system brewing in the Caribbean, but it's more of a worry for BP than for energy prices. "It's a concern obviously because of the oil spill more than anything," but it's too early to tell whether it'll disrupt oil and natural gas output in the Gulf of Mexico, says Tony Rosado with GA Global Markets. National Hurricane Center says there's 30% chance this system strengthens into a cyclone in next 48 hours. Severe weather such as a hurricane in the spill-affected area would create "a catastrophic scenario on top of another catastrophic scenario," Rosado says, as oil containment operations would likely be suspended. Oil futures recently down 3% at $75.55/barrel. ([email protected]) Call us at (212) 416-2181 or email [email protected] Visit the Market Talk blog at www.djnmarkettalk.com. (END) Dow Jones Newswires June 23, 2010 10:40 ET (14:40 GMT)