30th August 2011
Oil prices fell in commodities trading on Tuesday (August 30th) as fears of an economic downturn were sparked by a loss of confidence in the eurozone.
According to AFP, Brent North Sea crude to be delivered in October saw its value drop to $111.58 per barrel - representing a decline of 30 cents - following early afternoon trading.
West Texas Intermediate for October delivery, the main contract in New York, fell to $86.74 per barrel, down by 52 cents.
VTB Capital analyst Andrey Kryuchenkov remarked: "We are retreating with a small pullback in equities, also with a dollar rebound weighing on prices."
Addison Armstrong, an analyst at US-based Tradition Energy, attributed the drop to the growing strength of the dollar against riskier currencies.
In the coming months, commodities trading may be affected by the return of Libya to the international oil market.
Analysts at Raymond James predicted the North African country's production may return to pre-war levels over the next nine months, Reuters reported.
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