Concerns over slow fuel demand recovery in USA pulls down crude oil

03-Aug-09

Crude oil for September delivery dipped to US$$66.5 on the NYMEX , down 2.2% last week, heading for its first weekly decline since July 10. Crude oil has fallen on concerns of slow recovery in fuel demand in the U.S. Earlier in the week, oil prices climbed after better-than-expected corporate earnings and as jobless claims held below June levels. Analysts feel that this movement in oil prices can be majorly attributed to macro-economic factors more than oil market fundamentals.