Oil falls below 86 dollars
Wednesday, 24 October 2007
SINGAPORE, Oct 23 (AFP): World oil prices slipped further in Asia today as worries over slowing economic growth in the United States shadowed the market, dealers said.
New York's main oil futures contract, light sweet crude for delivery in December, was 26 cents lower at 85.76 dollars a barrel in late morning trade.
The November contract closed in New York Monday at 87.56 dollars after falling 1.04 dollars during the day. The contract struck a record 90.07 dollars Friday.
Dariusz Kowalczyk, senior investment strategist with CFC Seymour in Hong Kong, said "there is a huge bias to close lower today" with the transition from the November contract to the cheaper December contract. More distant crude contracts are always priced lower, he said.
Brent North Sea crude for December delivery was 32 cents lower at 82.95 dollars a barrel.
In London trade Monday the contract dipped 52 cents to settle at 83.27 dollars a barrel, off more than a dollar from its record peak of 84.88 dollars Thursday.
Kowalczyk said worries over slower economic growth were also a factor, particularly after a weekend warning from finance ministers and central bankers of the Group of Seven industrialised countries.
New York's main oil futures contract, light sweet crude for delivery in December, was 26 cents lower at 85.76 dollars a barrel in late morning trade.
The November contract closed in New York Monday at 87.56 dollars after falling 1.04 dollars during the day. The contract struck a record 90.07 dollars Friday.
Dariusz Kowalczyk, senior investment strategist with CFC Seymour in Hong Kong, said "there is a huge bias to close lower today" with the transition from the November contract to the cheaper December contract. More distant crude contracts are always priced lower, he said.
Brent North Sea crude for December delivery was 32 cents lower at 82.95 dollars a barrel.
In London trade Monday the contract dipped 52 cents to settle at 83.27 dollars a barrel, off more than a dollar from its record peak of 84.88 dollars Thursday.
Kowalczyk said worries over slower economic growth were also a factor, particularly after a weekend warning from finance ministers and central bankers of the Group of Seven industrialised countries.