* U.S. crude inventories seen up 1.9 mln barrels last week
* OPEC meets in Vienna next week to decide oil production
* Coming up: API stocks data at 4:30 p.m. EST (2130 GMT)
(Updates with settlement prices)
By Rebekah Kebede
NEW YORK, March 9 (Reuters) - Oil prices fell from
eight-week highs on Tuesday, pressured by a stronger dollar and
uncertainty about an economic recovery.
U.S. crude futures <CLc1> for April fell 38 cents to settle
at $81.49 a barrel, after reaching a low of $80.16 a barrel
earlier. In London, North Sea Brent crude oil futures <LCOc1>
slipped 56 cents to settle at $79.91 a barrel.
"The petroleum markets have tipped back to the downside,
with crude oil testing the $80 level from above, on selling
prompted by an upturn in the U.S. dollar," said Tim Evans, an
energy analyst for Citi Futures Perspective.
The dollar, which for months has frequently been inversely
correlated with oil prices, edged up on Tuesday against a
basket of currencies, putting pressure on oil prices. []
A stronger dollar makes dollar-denominated commodities,
such as crude oil, more expensive for holders of other
currencies.
RBOB gasoline futures led the oil complex in losses,
despite data from MasterCard SpendingPulse showing a 2.5
percent rising in gasoline demand in the week to March 5 versus
the previous and a 5.4 percent gain against year ago levels.
[]
Expectations for a build in U.S. gasoline and crude oil
inventory build were also bearish for prices. Inventories of
both crude oil and refined products in the United States have
swelled as the recession has reduced fuel consumption in the
world's top consumer of oil.
A Reuters survey of analysts showed U.S. crude inventories
rising for a sixth straight week as imports edged up and
refinery utilization remained flat. []
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 200,000 barrels.
The industry-funded American Petroleum Institute will
publish inventory data on Tuesday at 4:30 p.m. EST (2130 GMT),
followed by government statistics from the Energy Information
Administration on Wednesday at 10:30 a.m. EST (1530 GMT).
NO CHANGE TO OPEC TARGETS
The Organization of the Petroleum Exporting Countries 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. []
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 on Tuesday
raised its forecast for non-OPEC crude oil production growth
this year by 550,000 barrels-per-day this year to 50.82 million
bpd.
In its monthly report, the agency also said it expected
world oil demand to rise by 1.47 million barrels per day in
2010 from a year earlier. []
(Additional reporting by Robert Gibbons and Gene Ramos in New
York, Christopher Johnson in London, Alejandro Barbajosa in
Singapore; Editing by Marguerita Choy)
