Updated from 2 p.m. EDTCrude prices rose Tuesday as traders reacted to a new estimate of future energy demand. Crude for November delivery finished up $1.75 to $63.55 a barrel. Heating oil rose 5.1 cents to $2.02 a gallon, while gasoline was up about 3.2 cents to about $1.83 a gallon. Natural gas rose 62 cents to $13.59 per million British thermal units. "The market usually does peak in October and then goes back down," said Mike Sander, an energies analyst, with Altavest Worldwide Trading. "Sometimes it does spike back up in later months." Sander said the companies appear to be doing a good job of getting gulf area refineries back on line following the twin assaults of Hurricanes Rita and Katrina, adding that hurricane season is almost over. He also said that over the long run, his company is bearish on crude oil. "It was up to $67 eight trading days ago and it dropped hard," he said. "So you would assume any market would retrace a little bit. In the next couple of weeks, I'm looking for it to drop to the $57-$58 range." The International Energy Agency, in a report issued Tuesday, lowered its 2006 oil demand growth forecast by 100,000 barrels a day to 1.75 million barrels, according to the Associated Press. Some traders apparently expected a deeper cut. The U.S. Minerals Management Service said the shut-in oil production in the Gulf of Mexico is about 1.1 million barrels of oil per day, or the equivalent of 71% of the gulf's daily oil production. The shut-in natural gas production is 6.042 billion cubic feet per day, or the equivalent to nearly 61% of the gulf's daily gas production. On the weather front, the Accuweather.com Long Range Forecast Team predicted colder-than-normal temperatures in the Northeast United States, saying New England will be hit hardest. Meanwhile, Rex Tillerson, president of ExxonMobil ( XOM), apparently believes oil prices shouldn't be so high in the long term. Reuters is reporting that in an interview with a Russian business daily, Tillerson said "the volume of supplies satisfies demand and for the time being this balance won't change. Therefore, oil prices will fall." Most of the major oil companies saw their stock rise. The Philadelphia Oil Service Sector was up 1.7%, while the American Oil Index was up 2.15%. In company news, Banc of America upgraded New Orleans-based Entergy ( ETR) from neutral to buy. CFSB initiated coverage of Houston-based Kinder Morgan ( KMP) with an initial recommendation of outperform. Transocean ( RIG), the world's largest offshore drilling contractor, said it had been awarded two contracts that could bring a total of nearly $480 million in revenue. The Houston-based company said Statoil ASA awarded a contract for exploration and drilling operations offshore Norway and Oil and Natural Gas Corporation of India and awarded a contract for drilling operations offshore India. Valero Energy ( VLO)said power generation systems and boilers at its Port Arthur, Texas refinery are online. Barring any unforeseen problems, the company said, the refinery will be back online by the end of the week.