Oil prices fell by $1 a barrel this evening, extending losses to a fifth straight session, as the stronger dollar and high US inventory levels affected prices.
The dollar gained against a basket of currencies, making dollar-denominated commodities more expensive for holders of other currencies. US crude was down $1 at $72.93 a barrel, while in London, Brent fell 83 cents to $75.60.
Oil markets have looked to wider economic data and stock markets this year for a sign of a turnaround in the economy that could boost crude demand and drain high inventory levels in key consumers, such as the US.
The US Energy Information Administration today revised downward its forecast for 2010 world oil demand by 160,000 barrels per day.
Crude oil stocks at the giant storage hub in Cushing, Oklahoma - the delivery point for the New York Mercantile Exchange's oil futures contract - have swelled.
Oil prices have rallied to a high for the year of $82 a barrel, reached in October, from below $33 in December 2008.
