New York Times Contract Talks: Union Fury As Paper Proposes Separate Plans …







New York Times


















The long and contentious contract negotiations at the New York Times took an unexpected twist on Tuesday when the paper’s management presented two different proposals for print and digital employees.

The Newspaper Guild of New York blasted the decision in a statement, calling it « hostile » and a « bomb » dropped on the process. The union argued that the move « would undo months of incremental progress toward a unified contract, » especially after it had presented a pension plan for employees. That proposal was intended to address one of the biggest sticking points in the talks.

“Given the progress that we’ve made and the very real prospect of resolving the pension issue, we could have settled these negotiations to the satisfaction of both sides by September,” said New York Guild President Bill O’Meara. “Instead, what management has done will depress members’ flagging morale even further with the Summer Olympics, the heat of the election season and a presidential vote all looming.”

The Guild said that it believes the Times is trying to split the proposals as a legal maneuver to be able to impose a pension freeze and increased working hours on employees through a measure called an « impasse. »

« If impasse is declared, the Guild would challenge the move at the National Labor Relations Board. A strike authorization vote, members’ only other recourse, is another option, » the statement read.

The Times declined to comment on the talks. « We continue to look forward to reaching an agreement with the Guild, » a spokesperson told The Huffington Post on Tuesday.

The negotiations between the Times and the Guild have taken many twists and turns. The paper’s management enraged employees when it proposed freezing staff pension and ending independent heath care plans, amongst other things. Times staffers have released several videos harshly condemning the proposals, silently protested outside editorial meetings, and picketed the paper’s shareholder meetings.



Related on HuffPost:








« ;
var coords = [-5, -72];
// display fb-bubble
FloatingPrompt.embed(this, html, undefined, ‘top’, {fp_intersects:1, timeout_remove:2000,ignore_arrow: true, width:236, add_xy:coords, class_name: ‘clear-overlay’});
});

http://www.google.com/url?sa=X&q=http://www.huffingtonpost.com/2012/07/18/new-york-times-contract-newspaper-guild_n_1681065.html&ct=ga&cad=CAEQARgAIAAoATAAOABA5q2agAVIAlAAWABiBWVuLVVT&cd=Va2fbrwcLY0&usg=AFQjCNHZJKSqXD7tdmYMVbJHSepDVdVOew

by

Huffington Post

NY is tax-&-spend capital of America

Redirect Notice

Redirect Notice

 The previous page is sending you to

http://www.nypost.com/p/news/local/ny_is_tax_spend_capital_of_america_RRb9OjRaZ7rNYo92OmHXVM?utm_medium=rss

.

 If you do not want to visit that page, you can return to the previous page.

http://www.google.com/url?sa=X&q=http://www.nypost.com/p/news/local/ny_is_tax_spend_capital_of_america_RRb9OjRaZ7rNYo92OmHXVM?utm_medium=rss&utm_content=Local&ct=ga&cad=CAEQARgAIAAoATAAOABA5q2agAVIAlAAWABiBWVuLVVT&cd=Va2fbrwcLY0&usg=AFQjCNFu9Grh0gYpv_ZMKtquncNt18ndJA

by

New York Post

Nats rally against Mets, win on wild pitch in 10th

Redirect Notice

Redirect Notice

 The previous page is sending you to

http://www.cbssports.com/mlb/gametracker/recap/MLB_20120717_NYM@WAS/nats-overcome-mets-on-wild-pitch-in-10th

.

 If you do not want to visit that page, you can return to the previous page.

http://www.google.com/url?sa=X&q=http://www.cbssports.com/mlb/gametracker/recap/MLB_20120717_NYM@WAS/nats-overcome-mets-on-wild-pitch-in-10th&ct=ga&cad=CAEQARgAIAAoATAAOABA5q2agAVIAlAAWABiBWVuLVVT&cd=Va2fbrwcLY0&usg=AFQjCNE9IO7VFzNU73n9W1jdnFNezy5VeQ

by

CBSSports.com

Toronto Blue Jays lose to New York Yankees, 6-1

ANTHONY GOSE

Seth Wenig/the Associated Press The Jays’ Anthony Gose heads for first Tuesday night at Yankee Stadium in his first big league at-bat, a groundout to shortstop Derek Jeter.

NEW YORK—If this critical six-game road trip through New York and Boston is to be season-defining for the Blue Jays — as manager John Farrell said it might — fans may have to grow accustomed to nights like Tuesday’s.

The team’s injury woes and depleted pitching staff were on full display at Yankee Stadium as the Jays lost their second in a row to New York, falling 6-1 in front of an announced crowd of 44,975.

A day after losing Jose Bautista, their best player and one of two primary run-producers, for at least the next two weeks, the Jays could not mount much of an offence and were held off the board until the eighth inning.

Meanwhile, lefty Brett Cecil, who couldn’t crack the Jays’ staff out of spring training but was brought in to bolster the club’s injury-riddled rotation, gave up six hits and two walks, including a three-run home run to Andruw Jones in the second inning, granting the patient Yankee hitters a lead they would not relinquish.

Hard-throwing lefty CC Sabathia, in his first start since coming off the disabled list with a groin strain, relentlessly pounded the strike zone against the Jays, holding them scoreless through six innings. The former Cy Young winner threw 66 of his 87 pitches for strikes and gave up just four hits and a walk, rarely even entering into two-ball counts against Blue Jay batters.

Cecil ate up innings — at least — and Farrell said he “did his job.”

“Jones went down and got a decent pitch on a changeup that was on the outer part of the plate, but … to his credit (Cecil) kept the ball down and changed speeds effectively.”

Aside from the pitch to Jones, Cecil said he felt good about his outing.

“I felt really good about it, man. … Just one pitch.”

Before the game Cecil dropped the slider from his repertoire, saying he didn’t want to keep fighting it inside of games. “I just couldn’t seem to get it down,” he said. “And I have the cutter, which is essentially the same pitch.”

Down 3-0, and with his team’s offence sputtering with just four hits through seven innings, Farrell turned to minor-league relievers Sam Dyson and Aaron Loup, who along with Drew Carpenter and Chad Beck make up the Jays’ current stock of bullpen replacements. Dyson and Loup headed into the game with a combined 2.2 innings of major-league experience.

Dyson gave up four consecutive hits and a walk, allowing three runs to score and the Yankees to pull away. Loup fared better, earning two quick outs to end the inning.

On the bright side, Adam Lind had a two-hit night. In the 18 games since returning from his minor-league demotion on June 25, Lind is hitting .338 with five home runs and a .400 on-base percentage and an OPS of more than 1.000. Only Edwin Encarnacion has been as good over the same stretch.

The Jays scored a run in the eighth off Yankees reliever Chad Qualls when catcher Jeff Mathis led off with a ground-rule double to left centre, then advanced on back-to-back flyouts.

With Bautista out of the lineup for at least two weeks, the Jays may be looking to score more runs with the small game.

“You play to the strengths of the lineup that’s on the field,” Farrell said before Tuesday’s game. “If the ability to run the bases is there a little bit more, we got to get on base first, but we will play the game, take advantage of game situations as they emerge. But to sit here and say that we’re going to do things drastically different, we’ll see how that unfolds.”

In his major-league debut, speedy outfield prospect Anthony Gose — called up to replace Bautista — was inserted into the lineup to pinch-hit for Ben Francisco in the seventh against right-handed reliever Cody Eppley.

Wearing No. 43 — Cito Gaston’s old number — Gose had just stepped into his first big-league batter’s box, when out popped Yankees manager Joe Girardi, signalling to the bullpen with his left hand.

So the left-handed hitting Gose, who has struggled against southpaws this year, had to face lefty Boone Logan. He promptly grounded out to shortstop Derek Jeter.

Gose faced another lefty, Clay Rapada, in the ninth, slap-bunting his first major-league hit to load the bases by beating the throw from a befuddled Rapada, who couldn’t decide where to make the play.

“It’s a great feeling to get the first one out of the way,” Gose said. “Hopefully I can help the team get some more tomorrow.”

The Jays threatened a comeback in the ninth, when a leadoff double by Encarnacion led to a bases-loaded-with-one-out opportunity for J.P. Arencibia. But Arencibia lined out to first-baseman Mark Teixeira, who doubled-off Gose at first to end the game.

http://www.google.com/url?sa=X&q=http://www.thestar.com/sports/baseball/mlb/article/1227990–toronto-blue-jays-lose-to-new-york-yankees-6-1&ct=ga&cad=CAEQARgAIAAoATAAOABA5q2agAVIAlAAWABiBWVuLVVT&cd=Va2fbrwcLY0&usg=AFQjCNGHOEY_TFQsBZVgR-a9o0jrADnk7w

by

Toronto Star

New York authorities charge 48 in massive Medicaid fraud

  • Medicaid beneficiaries sold the drugs to other buyers, who in turn marketed them to wholesalers
  • Scheme targets expensive medications — some at a cost of more than $1,000 a bottle
  • It costs tax payers $500 million, prosecutors say
  • « These defendants ran a black market … involving a double-dip, » official says

New York (CNN) — Federal prosecutors have charged 48 people in a massive fraud that allegedly bought HIV medications and other prescription drugs from Medicaid recipients and sold them to unsuspecting buyers.

The scheme cost tax payers $500 million, prosecutors said Tuesday.

Prosecutors said Medicaid beneficiaries in New York, including AIDS patients and others suffering from illnesses requiring expensive drugs, sold their prescriptions to some of the defendants for cash instead of using them for treatment.

Once Medicaid beneficiaries sold the drugs to other buyers, the latter marketed the pills to pharmacies and other wholesale prescription drug companies in New York, New Jersey, Pennsylvania, Florida, Texas, Massachusetts, Utah, Nevada, Louisiana and Alabama, according to authorities.

The scheme targeted expensive medications — some at a cost of more than $1,000 a bottle — for illnesses such as asthma and HIV, authorities said.

« These defendants ran a black market in prescription pills involving a double-dip fraud of gigantic proportions, » said Preet Bharara, the U.S. attorney for the southern district of New York.

« It worked a fraud on Medicaid — in some cases, two times over — a fraud on pharmaceutical companies, a fraud on legitimate pharmacies, a fraud on patients who unwittingly bought second-hand drugs, and ultimately, a fraud on the entire health care system. »

Defendants made money off the difference between the often negligible Medicaid cost to the patient, and the hundreds of dollars per bottle they charged the pharmacies that sold the second-hand prescriptions to unwitting customers, authorities said.

« The scheme posed serious health risks at both the collection and distribution ends, » said Janice K. Fedarcyk, FBI assistant director.

« People with real ailments were induced to sell their medications on the cheap rather than take them as prescribed, while end-users of the diverted drugs were getting second-hand medicine that may have been mishandled, adulterated, improperly stored, repackaged and expired. »

The FBI said it seized more than $16 million worth of prescription drugs — 33,000 bottles and more than 250,000 loose pills, « kept in uncontrolled and sometimes egregious conditions » by some of the suspects.

« It’s one thing when people sell their blood for money; it’s another when they sell their drugs, especially when the diversion compromises the pharmaceutical supply with tainted and outdated drugs, » said Raymond W. Kelly, commissioner of the New York City Police Department.

E-mails obtained by a search warrant revealed that some defendants bought and sold more than $62 million worth of second-hand prescription drugs during an approximately 12-month time frame. The deals were meticulously documented through purchase orders and receipts scanned onto their computers and uploaded into e-mail accounts.

Anyone who purchased second-hand prescription drugs or was victimized by the scheme is urged to call the FBI hot line at 212-384-3555.

CNN’s Marina Landis contributed to this report


http://www.google.com/url?sa=X&q=http://www.cnn.com/2012/07/18/justice/new-york-drug-scheme/index.html&ct=ga&cad=CAEQARgAIAAoATAAOABA5q2agAVIAlAAWABiBWVuLVVT&cd=Va2fbrwcLY0&usg=AFQjCNHw6rV9dl9R_RbWZj83EVhDgi39tg

by

CNN

The New York Times Put Its Bloggy Ombudswoman Through the Wringer

Photo by Derek Gee / Buffalo News, via twitter.com/Sulliview

New York Times executive editor Jill Abramson announced Monday that Margaret M. Sullivan, editor and vice president of The Buffalo News, will replace Arthur Brisbane as the paper’s public editor.

Speaking on the phone from Buffalo Monday afternoon, Ms. Sullivan told Off The Record that she had lusted after the gig for years.

“Now that there’s going to be much more of a digital job,” she said, “it’s a very good fit for me.”

She described the Times search as broad and the vetting process as lengthy and thorough.

“It was not a slam dunk,” she admitted.

A post created in the wake of the Jayson Blair plagiarism scandal in 2003, The Times’s public editor serves as a liaison between readers and newsroom. He or, for the first time since the position’s creation, she, answers reader questions and critiques newsroom decisions in a biweekly Sunday column.

In an internal memo announcing Ms. Sullivan’s appointment, Ms. Abramson said the position will expand “to keep pace with The Times’ multi-platform presence.” The public editor will now engage with readers “in a more timely way,” she wrote, by way of a social media presence, a blog and a web page, in addition to the print column.

After praising Ms. Sullivan’s reporting credentials (she created The Buffalo News’s first investigative team), Ms. Abramson lauded her digital bona fides.

“She’s a regular blogger and is comfortable with social media,” she wrote.

Ms. Sullivan told Off The Record that she began her Buffalo News blog, called SulliView, as an experiment late last year, when she was itching to do more writing and “immerse herself in the tools journalists had.”

“Whatever the digital platform may be, you can’t understand it until you do it,” she explained.

She has used SulliView as a platform to explain why a tough Romney article landed during his Buffalo fundraising weekend (total coincidence), engage in a live chat about an impending digital subscription plan and simply riff on the late Nora Ephron, Burmese activist Aung San Suu Kyi, and Pitchfork-beloved lo-fi group Youth Lagoon.

She sees the new public editor blog as “a digital village square where the conversation can be outside in real time.”

To outsiders, the rise of social media and reader feedback has only made the job of public editor more difficult. Her predecessor, Mr. Brisbane, received a social media lashing for one controversial article, “Should The Times Be a Truth Vigilante?”—including a parody Twitter.

In May, The Washington Post reported that he would step down after two years in the job and not pursue his third year contract option. (“I am grateful to him for his unwavering integrity and commitment to our readers,” Ms. Abramson wrote in her memo.)

But if the public editor has become something of a punching bag for media watchers, Ms. Sullivan isn’t concerned.

“I’ve learned in my job as top editor that you have to roll with the punches, have some equanimity and know that whatever the crisis du jour is, there will be another one soon,” she said.

In taking the job, Ms. Sullivan leaves her hometown paper, where she started as an intern 32 years ago and has served as top editor for twelve. The paper will conduct a national search for her replacement.

Prior to being named the first-ever Times ombudswoman, Ms. Sullivan was the first woman to hold the top job at The Buffalo News.

“It seems to be my fate,” Ms. Sullivan said of her repeat glass ceiling breakings. “I’ve read the analyses that there are relatively few women opinion columnists, maybe I’m making a step in the right direction on that one.”

Ms. Sullivan, who has a son in law school in Boston and a daughter at New York University, said she is looking forward to relocating to New York City for the position. She also offered a word of hope for the small newspapers currently being snapped up by mogul and philanthropist Warren Buffett, owner of the The Buffalo News, since 1977.

“There are very few better places to be in journalism than in a paper owned by Warren Buffett,” she said.

The paper of record being one of them, it seems.

Follow Kat Stoeffel via RSS.

http://www.google.com/url?sa=X&q=http://observer.com/2012/07/the-new-york-times-put-its-bloggy-ombudswoman-through-the-wringer/&ct=ga&cad=CAEQARgAIAAoATAAOABAj7SYgAVIAlAAWABiBWVuLVVT&cd=Tc3lwjFLp8E&usg=AFQjCNGi8ju00pGRi1-NaI_drJFiLaY2gg

by

New York Observer

The ‘New York Times’ Misses the Mark on Inequality, Marriage

Do we really need a front-page story in the Sunday New York Times to tell us that a woman with a college degree and a good solid marriage is better off than a college dropout raising three kids alone? In “Two Classes, Divided by ‘I Do’,” Jason DeParle profiled Jessica Schairer and Chris Faulkner, two white women from conventional church-going Midwestern middle-class families whose life trajectory looked much the same when they graduated high school and set out for college. Jessica, though, got pregnant by her freshman-year boyfriend and was persuaded by him to drop out and start a family. Now she’s raising their children in Ann Arbor, Michigan, by herself, on one income (just under $25,000 for a full time job as assistant director of a daycare center) and food stamps.

Meanwhile, Chris, her boss at the daycare center, did everything “by the book” and in the right order: college, marriage, kids. Now Chris has a combined household income of $95,000 a year, with plenty of money to spend on her sons’ sports and extracurricular activities, to say nothing of a loving, involved dad to share the parenting, while Jessica is exhausted, lonely, and can barely afford generic breakfast cereal, let alone Boy Scout Camp for her troubled son. Yes, yes, is the takeaway: inequality is increasing and good jobs are hard to find, but “what most separates” the two women “is not the impact of globalization on their wages but a 6-foot-8-inch man named Kevin.”

Well, if only we could clone Kevin—or maybe put great big Good Guy and Bad Guy signs on young men so that naïve college girls could tell which slacker boys are exploitive louts and which ones just need a nudge to become prime husband material. (Kevin went through a layabout stage but reformed because he wanted to marry Chris. “Marriage, in other words, can help make men marriageable.”) DeParle seems to think getting married transforms people, and maybe sometimes it does—but the lightbulb has to want to change. If marriage turned men into Kevins, there wouldn’t be so much divorce. Let’s say Jessica had gotten her boyfriend to marry her as they originally discussed—and she stayed with him for seven years and three kids, so she clearly tried to make it happen (“I wanted him to love me,” she says—what a world of sadness in those words!)—he would still have been a nogoodnik who rarely worked, lived off Jessica and his mother, and had little to do with the kids even when they all lived together. She would be long divorced by now. Her only other serious boyfriend, whom she dated for a year before letting him move in to her kids’ great delight, had to be removed after six months by the police. I don’t mean to be discouraging here, but maybe there was never going to be a Kevin for Jessica. Maybe there aren’t enough Kevins to go around, because of a whole range of developments over several decades, from the decline of good union jobs to our penchant for putting staggering numbers of men in prison.

DeParle mentions positively Charles Murray’s contention that single motherhood is a “values” issue, not an economic one. Murray means working-class and lower-middle-class white people have abandoned traditional family values (they’re becoming like—oh no!—black people) but you can just as well see Jessica as having too many of those values: she rejected abortion, she stuck by her man, she tried too hard to make a family. If we really want women like Jessica to avoid early childbearing and single motherhood, we have to stop promoting outmoded ideas about sex and gender: abstinence-only sex ed, shame that leads to inconsistent use of birth control, stigmatizing abortion, woman’s worth depending on keeping a man, “fixing” the relationship as woman’s responsibility, motherhood as women’s primary purpose in life. “I’m in this position because of decisions I made,” Jessica says. That’s a very American value right there: if you screw up in your early 20s, you—and your children—are on your own for life.

What would we do if we wanted to help Jessica and her kids, the millions like them, and the millions at risk of becoming them? I was struck by how completely she was thrown back on her own resources: she went to William Penn University, which costs $20,000 a year and has a freshman retention rate of only 55 percent—maybe she and her boyfriend fell through cracks that shouldn’t have been there. She gets no child support, not even a token amount—which is really outrageous, because even if her kids’ father makes very little, I’ll bet he has beer and cigarettes and girlfriends. She has church, but seemingly no help from her parents, and no helpful network of friends.

Her son has Asperger’s—where are the programs for him? Kids’ extracurriculars and camps cost too much for her, although we know they help learning and development—why aren’t they free? If she leaves her too-expensive neighborhood, her kids will be in a worse school—why? Believe it or not, most Western industrialized countries do a far better job than we do of giving kids a decent childhood and of sustaining their mother too. It does not have to be that if you can’t afford to live in the right neighborhood, your children get a bad education. That is a social and political decision that we have made.

And then there is Jessica’s job. Although she earned a degree from community college and is a highly regarded employee, she is still on an hourly wage of only $12.35. She punches in and out, and she gets no paid days off—even when she was recovering from an operation for cervical cancer. When she took a day off to chaperon a school field day, she lost a day’s pay. Message to Anne-Marie Slaughter: this is how we treat “family balance” in the regular world of work, and this is how we treat skilled, experienced management-level employees in the childcare field. Taking care of children is women’s work, after all, and women are supposed to have Kevins, not family-size paychecks. Why does it seem like a reasonable policy suggestion to tell Jessica she needs a husband, and pie in the sky to say she needs a union? Or a national day care system like the one in France, where teachers are well-paid, with benefits?

Jessica Schairer is doing the best she can. In fact, she is pretty heroic. It’s the rest of us that are falling short.

http://www.google.com/url?sa=X&q=http://www.thenation.com/blog/168932/new-york-times-misses-mark-inequality-marriage&ct=ga&cad=CAEQARgAIAAoATAAOABAj7SYgAVIAlAAWABiBWVuLVVT&cd=Tc3lwjFLp8E&usg=AFQjCNErhnOic5nWVGtffelEaOqN_UUdtA

by

The Nation. (blog)

Tom Cruise flies to NY to visit daughter Suri

NEW YORK, NY - JULY 17: (EXCLUSIVE COVERAGE) Tom Cruise and Suri Cruise seen on the Streets of Manhattan on July 17, 2012 in New York City. (Photo by James Devaney/WireImage)

James Devaney/WireImage

Tom Cruise was photographed carrying daughter Suri into a New York hotel on Tuesday.

Tom Cruise finally got some daddy time with Suri.

The “Mission: Impossible” star swooped into New York early Tuesday for his first face-to-face visit with his daughter since Katie Holmes blindsided him with a divorce filing on June 28.

Cruise was spotted cradling the 6-year-old tightly in his arms as he rushed into the Greenwich Hotel in Tribeca Tuesday morning wearing jeans and his trademark aviator shades.

SEE IT: SURI THROWS A TANTRUM AFTER SHE DOESN’T GET A PUPPY

The celebrity spawn rested her head on his shoulder when they emerged hours later for a quick trip to her regular 7 p.m. gymnastics class.

“Good, good. Thank you,” Cruise said outside the Chelsea Piers class when asked how he was doing.

Again, Suri kept her head tightly pressed to her father’s chest as she clutched one of her beloved stuffed animals. They left about 8:15 p.m.

Article_SuriGymnastics1_0716Katie Holmes takes her daughter Suri to a gymnastics class in NYC on Monday. (Hall/Pena/PacificCoastNews.com)

“I’m a huge Tom Cruise fan. He looked great. He looked like a movie star. He looked really happy and so did Suri,” said upper East Side resident Laura Becker, 25, after her close encounter with the star outside the tony Tribeca hotel.

TOM AND KATIE WORK OUT DIVORCE SETTLEMENT IN RECORD TIME

The father-daughter duo plans to spend several days together in the city, People magazine reported. Cruise reportedly took an overnight flight from California, where he wrapped filming on his new sci-fi thriller “Oblivion” over the weekend. 

Article_Holmescar2_0716Katie Holmes and Suri had a close call as a car they were being driven in was sideswiped in New York City. (Hall/Pena/PacificCoastNews.com)

He made a beeline for Holmes’ new pad at the Chelsea Mercantile building but did not see his soon-to-be ex-wife as he spent five minutes inside collecting Suri, TMZ reported. Intermediaries made the handoff. 

PHOTOS: A LOOK BACK AT TOM AND KATIE’S RELATIONSHIP

Before the happy reunion, Cruise had to settle for video chats with Suri, a practice that will continue under terms of the couple’s speedy divorce settlement, RadarOnline reported.

ndillon@nydailynews.com

http://www.google.com/url?sa=X&q=http://www.nydailynews.com/new-york/tom-cruise-flies-new-york-visit-daughter-suri-divorce-katie-holmes-article-1.1116169&ct=ga&cad=CAEQARgAIAAoATAAOABAj7SYgAVIAlAAWABiBWVuLVVT&cd=Tc3lwjFLp8E&usg=AFQjCNEgO7Se-NnLaKGcFCSJtVgEQlSALA

by

New York Daily News

Oil Advances in New York, Reversing Earlier 1.2% Decline

Oil rose to a seven-week high on speculation that inventories fell and as a report showed U.S. industrial production increased in June.

Prices advanced as supplies probably dropped 1.3 million barrels last week, a Bloomberg survey of analysts showed. Industrial output rose 0.4 percent. Prices fell earlier as Federal Reserve Chairman Ben S. Bernanke refrained from pledging new stimulus policies, then rebounded with equities as Bernanke said the central bank is ready to act to boost growth if labor markets don’t improve.

“The economic data is pretty good and it’s painting a better picture for oil demand,” said Phil Flynn, senior market analyst at the Price Futures Group in Chicago. “The market is getting prepared for tomorrow’s inventory report.”

Crude for August delivery increased 79 cents, or 0.9 percent, to $89.22 a barrel on the New York Mercantile Exchange, the highest settlement since May 29. Prices have declined 9.7 percent this year. The five-day streak of gains is the longest since April 27.

Prices were little changed after the American Petroleum Institute said oil inventories fell 2.01 million barrels to 379.9 million last week. The August contract gained 61 cents to $89.04 a barrel at 4:32 p.m. in electronic trading in New York. Oil was at $89.09 before the API report’s release at 4:30 p.m.

Brent oil for September settlement advanced 63 cents, or 0.6 percent, to $104 a barrel on the London-based ICE Futures Europe exchange.

Crude Inventories

U.S. oil supplies probably fell to 376.9 million in the week ended July 13 as refineries processed more crude into gasoline, the Bloomberg survey showed. Analysts also predicted gains of 1.2 million barrels in gasoline stockpiles and 1.3 million in distillate. The refinery utilization rate increased to 93 percent of capacity, which would be a five-year high.

Crude inventories dropped 4.7 million barrels in the week ended July 6 to 378.2 million, the lowest level since April 27, the Energy Department reported last week.

“While traders may react to what Bernanke says, there is a completely independent, physical fundamental story,” said Tim Evans, an energy analyst at Citi Futures Perspective in New York. “The demand-supply balance is going to be significantly tighter in the third quarter than it was in the second.”

The International Energy Agency on July 12 forecast that world oil demand will increase next year by 1 million barrels a day to 90.9 million a day. Consumption in emerging economies will surpass developed nations for the first time ever in 2013, the Paris-based agency said.

Industrial Output

The increase in June industrial production was bigger than the 0.3 percent forecast by economists surveyed by Bloomberg. The Fed also revised May data to show a 0.2 percent decline that was larger than first reported.

Oil also rose as confidence among homebuilders climbed in July to the highest level in five years and U.S. equities advanced. Crude, which reached an intraday high of $89.46, settled above the 50-day moving average for a second day.

“As we start breaking out above $90, the trend followers are starting to get long,” said Rich Ilczyszyn, chief market strategist and founder of Iitrader.com in Chicago. “That’s very bullish for oil.”

Oil fell as much as 1.2 percent in intraday trading after Bernanke said progress in reducing unemployment is likely to be “frustratingly slow” and refrained from discussing specific monetary actions to spur the economy.

Bernanke said in testimony to the Senate Banking Committee that economic growth slowed during the first half of this year. Equities advanced after Bernanke said he doesn’t view inflation as a hindrance to providing more stimulus.

‘A Disappointment’

“Bernanke’s testimony is a disappointment to those hoping that we get another affirmative step in terms of stimulus,” said John Kilduff, a partner at Again Capital LLC, a New York- based hedge fund that focuses on energy. “He acknowledged a slowing economy but he didn’t come across with anything substantive as to what the Fed is going to do about it.”

Bernanke and his colleagues on the Federal Open Market Committee are considering whether the economy will need more stimulus to reduce a jobless rate stuck above 8 percent since February 2009. Last month, they decided to extend Operation Twist, which lengthens maturities of assets on the Fed’s balance sheet, to the end of the year.

Electronic trading volume on the Nymex was 555,204 contracts as of 4:32 p.m. in New York. Volume totaled 503,009 contracts yesterday, 10 percent below the three-month average. Open interest was 1.44 million.

To contact the reporter on this story: Moming Zhou in New York at mzhou29@bloomberg.net

To contact the editor responsible for this story: Dan Stets at dstets@bloomberg.net

http://www.google.com/url?sa=X&q=http://www.businessweek.com/news/2012-07-17/oil-rises-fifth-day-on-stimulus-speculation-inventory-outlook&ct=ga&cad=CAEQARgAIAAoATAAOABAj7SYgAVIAlAAWABiBWVuLVVT&cd=Tc3lwjFLp8E&usg=AFQjCNH–QmCxPcOMfy0R6Y85vTuhVmL2w

by

Businessweek