http://www.bloomberg.com/news/2011-02-10...-in-london.html
Oil dropped in New York for a sixth day as rising U.S. supplies signaled slowing demand in the world’s biggest crude user. Brent crude widened its premium over New York oil to a record of more than $16 a barrel.
New York futures slid as much as 0.9 percent after inventories climbed for a fourth week, the longest stretch of gains since May, according to the U.S. Energy Department. The Organization of Petroleum Exporting Countries has spare production capacity of 5.4 million barrels a day, Bank of America Merrill Lynch wrote in a report.
“OPEC’s spare capacity and crude inventories can’t justify prices above $100 a barrel,” said Axel Herlinghaus, senior commodities analyst at DZ Bank AG in Frankfurt, which trades Brent and WTI contracts.
Oil dropped in New York for a sixth day as rising U.S. supplies signaled slowing demand in the world’s biggest crude user. Brent crude widened its premium over New York oil to a record of more than $16 a barrel.
New York futures slid as much as 0.9 percent after inventories climbed for a fourth week, the longest stretch of gains since May, according to the U.S. Energy Department. The Organization of Petroleum Exporting Countries has spare production capacity of 5.4 million barrels a day, Bank of America Merrill Lynch wrote in a report.
“OPEC’s spare capacity and crude inventories can’t justify prices above $100 a barrel,” said Axel Herlinghaus, senior commodities analyst at DZ Bank AG in Frankfurt, which trades Brent and WTI contracts.
