Oil declines in ASIA

Oil was lower in Asian trade Wednesday on further worries over the
pace of the global economic recovery, analysts said. Prices will
be under further pressure if the release of a key US energy
reserves report later in the day indicates falling demand in the
world's largest oil user, they said. New York's main contract,
light sweet crude for September delivery, dropped 54 cents to $68.91
a barrel. Brent North Sea crude for September delivery was 69
cents lower at $71.77. 'Traders are going to concentrate on the
crude and gasoline numbers,' said Peter Donovan, vice president at
Vantage Trading. 'If the inventory numbers are not bullish, you
could see prices sliding further.' A Dow Jones Newswires poll of
analysts tipped US crude stocks to rise by 700, 000 barrels and
gasoline stocks to fall by 1.3 million barrels. Distillate
inventories, which includes heating oil and diesel, are expected to
drop by 300,000 barrels, the poll showed. Crude oil prices fell
Tuesday on fresh worries that the global economy may not recover as
fast as had been hoped, meaning energy demand would also be
affected. 'The recovery is far from firmly established,' analysts
from London-based Capital Economics consultancy said in a report.