* Oil falls by more than $1/bbl after 7 pct rise on
equities
* U.S. weekly and monthly oil data bearish
* Eyes on OPEC informal meeting in Cairo on Saturday
(Updates prices)
By Maryelle Demongeot
SINGAPORE, Nov 27 (Reuters) - Oil slipped towards $53 on
Thursday, as investors fretted over falling oil demand after
another set of bearish U.S. stocks and oil demand data, erasing
some of the 7 percent gains on an equities rally a day earlier.
The Dow Jones industrial average <> has risen 15.6
percent in the last four days, the largest four-day percentage
gain since 1932, after Europe plotted a $200 billion stimulus
plan, and China cut interest rates by the biggest margin in 11
years. []
But oil fundamentals remained weak, with U.S. crude stocks
rising sharply last week and U.S. September demand falling to
its to its lowest level for any month in more than a decade.
U.S. light crude for January delivery <CLc1> fell $1.04 to
$53.40 a barrel by 0559 GMT, off an earlier low of $53.14,
erasing some of the $3.67 gains made on Wednesday.
London Brent crude <LCOc1> fell $1.10 to $52.82.
"The global economic meltdown will continue to have a
negative impact on demand, eventually pushing oil into the $40s
before the year-end," said Jonathan Kornafel, Asia director of
Hudson Capital Energy.
Oil has fallen by almost $100 a barrel since hitting a
record peak above $147 a barrel in July as the global credit
crunch dented demand in large consumer nations.
U.S. weekly crude stocks rose by a hefty 7.3 million
barrels in the week ended Nov. 21, well above forecasts for an
800,000 barrel increase, the U.S. Energy Information
Administration (EIA) said on Wednesday. []
Total U.S. product demand over the past four weeks was down
6.6 percent from year-ago levels, while September oil demand
fell by 12.8 percent versus a year ago to its lowest in 12
years, the EIA also said.
Global demand is expected to decline by 20,000 barrels per
day each in 2008 and 2009, the first drop in a generation, that
would leave it at 86.01 milion bpd then, a poll of analysts
found on Wednesday. []
Price support may come from OPEC's informal meeting in
Cairo on Saturday.
"The surge in crude imports and stocks increases the odds of
a decisive OPEC cut," said French bank Societe Generale in an
overnight report.
OPEC may agree this week to cut production, Venezuelan oil
minister Rafael Ramirez said on Wednesday, just days before a
special meeting of the export group to study recent falls in
crude prices.
Venezuela, a price hawk in OPEC, has pushed for OPEC to
quickly decide to cut output by at least 1 million barrels per
day. []
Russian President Dimitry Medvedev called interesting a
proposal by Venezuelan President Hugo Chavez for OPEC to set an
oil price target band of $80-$100 a barrel. []
(Editing by Ben Tan)
