Oil down
Oil was lower in Asian trade Wednesday ahead of the release of a widely monitored US energy report, analysts said.
New York's main contract, light sweet crude for January delivery, dropped 74 cents to 87.54 dollars a barrel and Brent North Sea crude, also for January delivery, eased 16 cents to 91.05 dollars.
An expected drop in US energy reserves, regarded as an indicator that demand has improved, should cap the price decline, analysts said.
The cold spell in the northern hemisphere and OPEC's decision to keep output levels at existing quotas should lend support to prices in the long term, they said.
"Oil prices look firm at current levels supported by strong demand, the OPEC meeting outcome, cold weather, and inventory dynamics," Barclays Capital analysts said in a report.
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