Crude oil down on weak overseas cues

Crude oil prices fell by 0.88% to Rs 3,944 per barrel in futures trade today as speculators engaged in reducing their positions amid a weakening trend overseas on concerns over the US and Chinese economy.

At the Multi Commodity Exchange, September crude oil fell by Rs 35, or 0.88%, to Rs 3,044 per barrel, with a trading volume of 4,965 lots.

The October contract lost Rs 34, or 0.85%, to Rs 3,971 per barrel, with a turnover of 540 lots.

Analysts said the fall in crude oil prices in futures trade was mostly in tandem with a subdued trend in Asian markets on concerns over high unemployment rates in the US and runaway inflation in China

Meanwhile, New York's main contract crude for October delivery fell by 59 cents to $85.86 barrel in the Asian region today.