SINGAPORE (Commodity Online) : Global oil prices extended falls in Asian trade Friday as the dollar continued to scale high against major currencies.

Light sweet crude for April delivery was seen trading at $81.84 a barrel at 11.30 a.m Singapore time while Brent crude was at $ 81.14 a barrel at the same time.



Analysts attributed black gold’s slide also to worries over Greece's debt woes, and a rise in OPEC exports loomed.

The dollar's safe-haven status grew after Greece said it could not achieve the promised deficit cuts if its borrowing costs remained high, raising the stakes in its quest for the European Union to help tackle its debt crisis, and putting the European single currency under pressure.

The dollar index .DXY, which tracks the performance of the greenback against a basket of six major currencies, edged 0.1 percent higher to $80.288.

Crude prices tend to fall with a stronger dollar, as investors seek the safer haven of the U.S. currency over that of commodities.

A weaker dollar also makes dollar-denominated commodities less expensive for holders of other currencies.

Oil prices dipped on Thursday as the U.S. dollar strengthened against the euro.

Light, sweet crude for April delivery fell 73 cents to $82.20 a barrel on the New York Mercantile Exchange. In London, ICE Brent crude lost 48 cents to $81.48 a barrel.

OPEC members had agreed on Wednesday to maintain the official existing cuts of 4.2 million bpd, although some members have been pumping oil above their output targets

Post your comment  (0)

Connect:

Post to Twitter

Post to Facebook