* U.S. crude inventories up 1.9 mln barrels last week - poll
* OPEC meets in Vienna next week to decide oil production
* Reuters poll sees no change in OPEC output targets
* Coming up: API stocks data at 2130 GMT
(Updates detail, prices)
By Christopher Johnson
LONDON, March 9 (Reuters) - Oil prices slipped back from
eight-week highs on Tuesday on expectations of a rise in U.S.
crude inventories and a slightly stronger dollar.
U.S. crude inventories probably rose for a sixth straight
week as imports edged up and refinery utilisation remained flat,
a Reuters survey showed. []
Crude oil futures fell more than $1 per barrel on both sides
of the Atlantic, with benchmark U.S. futures <CLc1> for April
dropping to a low of $80.16, down $1.71, before recovering
slightly to trade around $80.50 by 1356 GMT.
North Sea Brent crude oil futures <LCOc1> slipped to a low
of $78.70, down $1.77, before paring losses to stand at $79.04.
"The market is going lower ahead of the inventories report,"
said Commerzbank analyst Carsten Fritsch. "Forecasts of a yet
another build in U.S. crude stocks show the disconnect between
the fundamentals of oil supply and demand, which are quite
bearish, and hopes of economic recovery, which are bullish."
The Organisation of the Petroleum Exporting Countries (OPEC)
will keep oil production targets on hold when it meets in Vienna
on March 17, but could raise output later this year as the world
recovers from recession, pushing up demand for fuel, a Reuters
poll showed on Monday. []
CONTENT
OPEC ministers say they are content with oil prices where
they are and analysts say they are unlikely to do anything to
alter the current trading range between $70 and $85 per barrel.
Iran's OPEC governor was quoted on Tuesday as saying the
12-country grouping may not necessarily increase output if oil
demand rises, as other producers might boost their production.
The U.S. Energy Information Administration is expected to
hold its global oil demand growth forecast steady for this year
at 1.2 million barrels in its latest report, although some
analysts believe the EIA might be too optimistic given
stubbornly high oil prices and an uncertain economy.
[]
The EIA's monthly short-term supply and demand forecast will
be published on Tuesday at 1500 GMT.
The industry-funded American Petroleum Institute (API) will
publish inventory data on Tuesday at 2130 GMT, followed by
government statistics from the EIA on Wednesday at 1530 GMT.
U.S. crude inventories gained 1.9 million barrels in the
week to March 5, the Reuters poll showed, while gasoline
stockpiles may have increased by 300,000 barrels.
Distillates, a fuel category that includes heating oil and
diesel, were expected to have dropped 900,000 barrels because of
lingering winter weather conditions in the U.S. Northeast, the
biggest heating market.
The dollar, which for months has been inversely correlated
with oil prices, edged up on Tuesday against a basket of
currencies, putting some pressure on oil prices. []
But some traders said the impact of the currency on the
crude prices has lessened, especially at times when economic
data releases enter the spotlight.
(Additional reporting by Alejandro Barbajosa; editing by Amanda
Cooper)
