Small BusinessOil lower in Asian trade
Oil eased in Asian trade today as traders continued to evaluate the pace of recovery in the US economy, the world"s biggest energy user, analysts said.
- Oil lingers below $70 as traders eye earnings - Oil falls to near $70 as traders eye US economy - Exports register 11th straight fall - Oil India eyes overseas assets, firms - Oil rebounds in Asia after overnight falls - Oil slightly higher in Asian trade
New York"s main contract, light sweet crude for November delivery dropped five cents to $70.36 a barrel.
Brent North Sea crude for November delivery fell nine cents to $67.95 a barrel.
Market players continued to digest economic data from the US that could help indicate demand prospects.
New data released yesterday by the Institute of Supply Management showed the US services sector grew in September for the first time in a year with its non-manufacturing index rising to 50.9 per cent from 48.4 per cent in August.
Any number above 50 per cent indicates growth.
Services makes up the lion"s share of US economic activity and employment, and is therefore critical to recovery from the long recession. The ISM index had declined for 11 consecutive months. "It was its highest reading since May 2009 and the first time since August last year that this part of the US economy was growing," said Dariusz Kowalczyk, chief investment strategist with SJS Markets financial house.
The ISM data on Monday followed last week"s figures by the Labour Department showing job losses accelerated to 263,000, sending the unemployment rate to a 26-year high of 9.8 per cent in September.