Oil eased in Asia ahead of Chinese inflation (AP) (20-01-2011)

BANGKOK – Oil prices eased a little on Thursday in Asia on Chinese inflation data suggesting authorities to slow growth more and investors waiting a weekly report on U.S. crude inventories.

Benchmark crude for March delivery was down 15 cents at $91.66 a barrel at midday Bangkok time in electronic trading on the New York Mercantile Exchange. The contract lost 50 cents to settle at $91.81 on Wednesday.

China's economy expanded 9.8 percent in the fourth quarter, up from 9.6 percent in July-September but cooling from the torrid 11.9 percent growth seen in the first quarter of last year. Inflation in December moderated from November's 28-month high but analysts said that was likely temporary.

The Energy Department is about to release its weekly oil inventory report on Thursday, a day later than usual because of the Martin Luther King Jr. holiday on Monday. Analysts surveyed by Platts, the energy information arm of McGraw-Hill Cos., expect a decline of 2.2 million barrels in crude supplies.

In other Nymex trading in February contracts, heating oil fell 0.1 cent to $2.655 a gallon and gasoline slipped 0.1 cent to $2.481 a gallon. Natural gas futures added 1.5 cents to $4.575 per 1,000 cubic feet.

In London, Brent crude fell 29 cents to settle at $97.87 a barrel on the ICE Futures exchange.

Source: AP