After closing at a 9 month high above US$69 a barrel, oil prices slipped back on Tuesday. Light, sweet crude for July delivery dipped to US$68.91 a barrel in Asian electronic trading on the New York Mercantile Exchange, midday in Singapore.
Monday witnessed a spurt of over on dollar in oil prices after Nigerian oil unions called a strike for this week amid continuing unrest and violence in the country's oil producing regions. Interestingly, this overnight jump in oil prices was not reflective of the demand-supply picture, as crude oil supplies seem ample. The market had already taken into account the supply risks posed by the general unrest in Nigeria.