WTI crude futures fall on NYMEX

West Texas Intermediate crude oil prices on the New York Mercantile Exchange fell 17 cents to $59.20 per barrel for July deliveries in early afternoon trading on Tuesday, while August WTI contracts fell 43 cents to $59.45 per barrel and contracts for delivery in September through April were trading around the $60 per barrel level.

In late day London trading, meanwhile, IPE Brent August contracts had lost 43 cents to $57.90 per barrel. Both had reached record highs on Monday.

The declines in prices came ahead of Wednesday’s US inventory figures.

Some analysts predict a decline in stockpiles for the third week in a row, which would add to worries that an expected increase in demand next winter could not be met.

Price decreases were also in spite of a continuing threat that Norwegian oil workers might strike, hindering production from the third-largest oil exporter in the world. As talks continued, neither the union or the Norwegian Oil Industry Association would say whether the strike would proceed or not.

In other commodities, UK prices for winter 2005 natural gas rose 0.5p to 68.60p per therm due to unplanned pipeline closures by BP.

The rise in natural gas prices in turn pushed carbon dioxide allowances to €23 per tonne, a record amount.

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