Commodities Wednesday, Dec. 10, 1986 : Oil Futures Prices Advance

Oil futures prices advanced Wednesday, with the market resisting pressure brought by increasing heating and gasoline stocks but nervously eyeing the approaching OPEC meeting in Geneva.

On some other markets, precious metals were higher, cattle futures were lower, while pork was mostly higher, and soybeans were higher.

Oil industry data released late Tuesday showed larger-than-expected increases in the stocks of heating oil and gasoline during the past week, indicating a slight decrease in demand. Higher refinery runs also weighed on the market during early trading.

But unconfirmed rumors that Iran’s Ayatollah Khomeini had died brought out short covering--buying to offset earlier sales--and prices rallied, said Richard Marose, an analyst in Chicago with Geldermann Inc.

Even though the rumor quickly was denied, the market held firm.

Reports out of Geneva as ministers gathered for Thursday’s meeting of the Organization of Petroleum Exporting Countries appeared to have little effect on the market.