Oil lower in Asian trade ahead of US energy report
Oil fell in Asian trade day as investors awaited the release of a widely monitored US energy data report, analysts said.
New York's main contract, light sweet crude for October delivery dropped 67 cents to 70.26 dollars a barrel.
Brent North Sea crude for November delivery was off 76 cents to $69.10.
The US Department of Energy is to release later today its weekly inventory report which is seen as an indicator of oil demand in the world's biggest energy user.
Analysts polled by Dow Jones Newswires expect oil inventories to have fallen 2.5 million barrels last week while gasoline reserves are seen rising by 600,000 barrels.
Distillate stocks, which include heating oil and diesel, are forecasted to rise by 1.4 million barrels, the poll showed.
Crude prices closed firmer yesterday, buoyed by economic data indicating a recovery in the US economy, with Americans spending more in August.
Official data showed US retail sales leapt a stronger-than-expected 2.7 percent in August from July, led by the government's popular "Cash for Clunkers" rebate programme that boosted car sales.
"While much of the gain in total sales was driven by government-stimulated car sales, the underlying trend in consumption seems to be improving," said Dariusz Kowalczyk, chief investment strategist with SJS Markets.