TOKYO, Nov 10 (Reuters) - U.S. crude futures extended
declines on Wednesday after hitting a two-year high the day
before, as a stronger dollar outweighed the impact of sharp
declines in U.S. oil inventories.
FUNDAMENTALS
* NYMEX crude for December delivery <CLc1> was down 20 cents
at $86.52 a barrel by 2310 GMT, after settling down 34 cents at
$86.72 a day earlier, falling for the first time in seven days,
pressured by the dollar's rise and Wall Street's falls.
The contract rose as high as $87.63 on Tuesday, the highest
since $89.82 struck on Oct. 9, 2008.
* The International Energy Agency said global oil supplies
will near a peak by 2035 and oil prices might exceed $100 a
barrel in 2015 and $200 in 2035. [] []
* The American Petroleum Institute said after Tuesday's
settlement that U.S. crude stocks fell 7.4 million barrels in the
week to Nov. 5, countering expectations for a 1.4 million barrel
rise in an expanded Reuters poll. []
Distillate stocks fell 4 million barrels, compared to analyst
expectations for a 1.9 million barrel draw. Gasoline inventories
dropped 3.4 million barrels. Analysts polled by Reuters had
expected a 800,000 barrel gasoline draw.
* The U.S. Energy Information Administration raised its 2011
world oil demand forecast by 33,000 barrels per day, to 87.77
million bpd, from its previous monthly forecast, and now sees a
year-on-year rise of 1.44 million bpd.[]
* U.S. oil demand would grow next year by 120,000 bpd after
increasing by 260,000 bpd this year, the EIA said.
MARKETS NEWS
* Wall Street fell for a second day on Tuesday as selling
accelerated into the close, led by sharp losses in bank and metal
stocks.
The Standard & Poor's 500 Index <.SPX> dropped 9.85 points,
or 0.81 percent, to 1,213.40.
* The U.S. dollar rallied broadly on Tuesday as debt risks in
the euro zone's periphery weighed on the euro and as U.S. bond
yields jumped. []
DATA/EVENTS
* The following data is expected on Wednesday:
- 0500 GMT-Japan Consumer confidence/Oct
- 1200 GMT-US Mortgage Market index/wkly
- 1330 GMT-US Export/Import prices/Oct
- 1330 GMT-US Jobless claims/wkly
- 1530 GMT-US Energy Information Administration oil data/wkly
PRICES
Oil prices as of 2310 GMT
Contract Mnth Price Change Day ago pct MA-20*
NYMEX Contracts
US Crude DEC0 $86.52 -0.20 -$0.34 -0.39% $82.89
Heat Oil DEC0 240.49 -0.18 +0.90 +0.38% 227.63
RBOB DEC0 218.48 -0.02 +0.65 +0.30% 211.43
Natgas DEC0 $4.212 +0.002 +$0.122 +2.98% $3.651
ICE Contracts
Brent DEC0 $87.97 -0.13 +$0.35 +0.40% $84.36
Gasoil NOV0 $744.25 +8.50 +$3.25 +0.44% $715.03
Note: U.S. heating oil and RBOB gasoline contracts listed in
cents per gallon.
* = 20-day moving average for continuation month.
(Reporting by Osamu Tsukimori; Editing by Chris Gallagher)
