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Summary World oil prices retreated further in line with the strengthening dollar and sliding stock markets.
World oil prices retreated further on Monday, in line with the strengthening dollar and sliding stock markets, as investor enthusiasm waned over last weeks eurozone debt deal.New Yorks main oil contract, light sweet crude for delivery in December, closed at $93.19 a barrel, down 13 cents from Fridays closing level.In London, Brent North Sea crude for December dropped 35 cents to settle at $109.56 a barrel.The oil market had rallied last week after a breakthrough eurozone sovereign debt crisis deal helped ease stubborn concerns that problems in Europe could spark a new global recession.However, prices closed lower on Friday and extended losses on Monday as dealers grew skeptical that the debt deal would fully resolve the eurozones long-running crisis.European stock markets meanwhile tumbled on Monday, led downward by the banks as investors fretted about their possible losses as a result of the eurozone crisis plan.Higher risk perception against the backdrop of weaker equity markets and the strength of the US dollar are putting some pressure on oil prices, said Commerzbank analyst Carsten Fritsch.The European single currency slid to $1.3868 on Monday, making dollar-priced crude more expensive for buyers using the euro and in turn dampening demand for oil.
