NYMEX-Crude slips on more Saudi supply, firm dollar

SEOUL, June 13 (Reuters) – U.S. crude futures edged down on Monday, extending losses seen in the previous session on a slightly firmer dollar and news that Saudi was offering more oil to Asian customers, while continuing unrest in the Middle East kept a floor under prices.

 

FUNDAMENTALS

* U.S. July crude fell as much as 59 cents to $98.70 a barrel, but later recouped some of the losses to trade down 6 cents at $99.23 by 0033 GMT on Monday. It dropped $2.64 to settle at $99.29 a barrel on Friday.

* ICE Brent for July delivery edged up 9 cents $118.87 a barrel.

* Top oil exporter Saudi Arabia has offered more crude to Asian refiners in July, evidence that it is taking steps to unilaterally increase supplies after OPEC talks collapsed.

* Saudi Arabia will raise output to 10 million barrels a day in July, Saudi newspaper al-Hayat reported on Friday, as Riyadh goes it alone to pump more outside official OPEC policy.

* But Iran’s OPEC governor said over the weekend that an increase in crude output by Saudi will not change market conditions as demand is for lighter oil than it provides, reiterating Tehran’s stance that there is no need to boost production.

* Rebels fighting against Libyan leader Muammar Gaddafi launched an offensive on Sunday to retake the oil town of Brega but were repelled in a battle which killed at least four fighters, rebels and doctors said.

* The United Arab Emirates said on Sunday it had recognised Libyan rebels as the sole legitimate representative of the Libyan people, the state news agency reported, becoming the second Arab state to take such a move.

* The main Syrian activist group organising protests said on Sunday a violent crackdown has killed 1,300 civilians and called on President Bashar al-Assad to step down to transform the country into a democracy.

* Talks to resolve Yemen’s political crisis have failed after the deputy to wounded President Ali Abdullah Saleh refused to speak with groups demanding he cede power immediately, opposition figures said.

* Thousands of Bahrainis shouting “we are victorious” gathered for a rally for political reform on Saturday, in the first large demonstration since the Gulf Arab state crushed a democracy protest movement in March.

 

MARKETS NEWS

* The dollar index , which tracks the greenback against a basket of currencies, firmed about 0.1 percent.

* The Nikkei benchmark fell on Monday after further signs of a global economic slowdown pushed U.S. stocks lower on Friday, and as weak machinery data soured sentiment. The benchmark Nikkei fell 1.3 percent to 9,391.26.