Crude prices were on the decline Friday as investors took a breather on concerns that speculation pushing oil to an 11-week high was too ambitious. Positive earnings news in the US and demand in China has seen oil gain nearly 4 percent this week alone.
Ã¢â‚¬Å“We are now at the upper end of the trading range and should come off, unless something unexpected happens,Ã¢â‚¬Â said Carsten Fritsch, a Commerzbank AG analyst in Frankfurt. Ã¢â‚¬Å“Fundamentals still look pretty poor and donÃ¢â‚¬â„¢t justify prices close to $80.Ã¢â‚¬Â
Crude for September delivery dropped as much as 51 cents, or 0.6 percent, to $78.79 a barrel, in electronic trading on the New York Mercantile Exchange. It was at $78.85 at 1:04 p.m. in London. Yesterday, the contract rose as high as $79.42, the highest price since May 5, as stock markets advanced.
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