Crude Oil Declines a Second Day on Concerns Recovery Stalling
By Grant Smith
Jul 26, 2010
Oil declined for a second day in New York on speculation that the global recovery may stall and crimp fuel consumption.
Crude oil slipped from near its highest level in 11 weeks as European equity indexes pared gains on losses among health- care and food companies. The U.S. economy probably expanded at a slower pace in the second quarter as the trade deficit swelled, economists said before reports this week.
“We are bumping up against resistance again around $78,” said Christopher Bellew, senior broker at Bache Commodities Ltd. in London. “It’s going to take better macroeconomic news or perhaps storm activity in the Gulf of Mexico to spring prices from their narrow trading range.”