Oil prices fell to below $90 a barrel Wednesday after a U.S. crude supply report showed mixed signs about consumer demand, The Associated Press reports.
By early afternoon in Europe, benchmark oil for October delivery was down 64 cents to $89.57 in electronic trading on the New York Mercantile Exchange. Crude added $2.02 to settle at $90.21 on Tuesday.
In London, Brent crude for October delivery was up 40 cents at $112.29 on the ICE Futures exchange.
The analysts said trading was showing “high volatility and tentative conditions.”
Oil prices jumped Tuesday to the highest in a month, up from $76 on Aug. 9, despite investor concerns about Europe’s debt crisis and slowing global economic growth. Some analysts expect prices will drift back down toward $80 if they can’t break through the $90 level.
In other Nymex trading for October contracts, heating oil rose 0.5 cent at $2.9411 per gallon and gasoline futures dropped 0.51 cent at $2.7373 per gallon. Natural gas for October delivery rose 0.1 cent to $3.981 per 1,000 cubic feet.
