Oil in Asia slips, but maintains firm outlook

Oil in Asia slips, but maintains firm outlook

SINGAPORE (Reuters): Asian crude oil prices eased
on Thursday, but maintained an overall firm outlook as the global
oversupply is steadily eroded.

October U.S. crude futures trading on the New York Mercantile
Exchange (NYMEX) after-hours ACCESS trade lost three cents to
US$24.10 per barrel at 0730 GMT.

In New York trade on Wednesday, the contract ended up 27 cents
at $24.13 from the previous day. October NYMEX crude reached a
high of $24.49 on Wednesday, the highest since Jan. 31, 1997, but
selling pressure trimmed the gains at the close.

On the Singapore International Monetary Exchange (SIMEX),
November Brent was bid at $22.58 per barrel, with no offers. The
contract closed three cents lower at $22.78 on London's
International Petroleum Exchange (IPE) on Wednesday.

Traders said despite the dip in ACCESS crude prices, the
market was finding support from the latest U.S. data showing a
fall in crude stocks, and comments by Venezuela that it would
keep its output ceiling.

"We're not interested in raising our production," Venezuelan
president Hugo Chavez told reporters in Caracas on Wednesday.
On Tuesday, Chavez rattled oil markets by saying prices were high
enough and that he did not wish to see them rise further.

The Venezuelan president's initial remarks dragged U.S. crude
futures prices down to $23.38 on Wednesday, but prices recovered
to settle higher at the end of the day.