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| Oil stable as market predicts emergency OPEC meeting LONDON -- Oil prices steadied on Thursday, with New York crude above US$89 a barrel as investor sentiment improved across financial markets worldwide after recent turmoil. With prices far below record high points around US$147 reached in July, analysts said on Thursday that the Organization of Petroleum Exporting Countries (OPEC) could soon announce an emergency policy meeting to cut output. New York's main contract, light sweet crude for delivery in November, climbed 23 cents to US$89.18 a barrel in electronic trade. Brent North Sea crude for November eased one cent to US$84.35 a barrel. "Market participants are still very much concerned that (oil) demand will continue to dwindle as global economies continue to slow sharply," said Sucden analyst Nimit Khamar in London. "However, increased expectations that OPEC may hold an (emergency) energy meeting and cut output is underpinning the market." Oil prices briefly fell to one-year lows on Wednesday as slumping stock markets increased concerns about falling demand for energy in a cooling global economy. The market had also ended lower as news of an unexpectedly sharp jump in U.S. crude reserves signalled weaker demand in the United States, the world's largest energy consuming nation. The Department of Energy said on Wednesday that U.S. crude oil inventories had risen by 8.1 million barrels in the week ended October 3, far more than market expectations of a 2.3-million-barrel gain. European stock markets rebounded slightly on Thursday as governments rushed to protect ailing banks and their savers, while Asian shares ended mixed after world indices endured sharp falls a day earlier. Wall Street was to reopen at 1330 GMT. OPEC member Libya called on Tuesday on crude producing countries around the world to cut output to protect their incomes should the market continue trading at current levels. Crude oil futures have in recent days traded within a band of about US$80-95 a barrel. |
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