World oil prices fell in New York on Friday but held firm in London, as a report on crude stockpiles in the United States suggested weakening demand in the world’s biggest energy consumer.
New York’s main contract, light sweet crude for delivery in November, shed 42 cents to $62,66 per barrel in electronic trading.
In London, however, the price of Brent North Sea crude for November delivery gained seven cents to $60,21 per barrel, trading higher ahead of the expiry of the contract later on Friday.
Official US data showed on Wednesday that crude inventories had risen for the first time in seven weeks last week amid a fall in demand for refined products.
”The bullishness of the figures was, however, countered by demand data showing that gasoline demand for the past four weeks fell 2,4% from a year ago, while distillate demand was down 4%,” said Sucden analyst Sam Tilley.
”The price of Brent had been rising all week on expectations of rising demand growth next year, but in the short term it looks as though the high oil prices are denting demand sufficiently to prevent the market heading back towards $70.”
US crude stockpiles rose by one million barrels to 306,4-million barrels in the week ending October 7, according the Department of Energy, whose data was delayed by 24 hours owing to a public holiday on Monday in the US.
It was the first time stockpiles had increased since the week ending August 19, but was below analysts’ consensus forecast of a rise of 1,7-million barrels.
Elsewhere, the latest stocks data showed that gasoline, or petrol, inventories dropped by 2,7-million barrels. Distillates, including heating oil, fell by 3,4-million barrels.
Seven US refineries remain out of action owing to damage from hurricanes Katrina and Rita. — Sapa-AFP