Oil prices continue falls in Asian trade

SINGAPORE: Oil prices continued lower in Asian trade on Wednesday on profit-taking and an improved outlook for energy supplies, dealers said.

At 10:06 am, New York's main oil futures contract, light sweet crude for delivery in September, was 30 cents lower at $73.26 per barrel from $73.56 in late US trades yesterday.

Brent North Sea crude for September was down 28 cents at $74.80.

Dealers said the market was looking ahead to the weekly report on US stockpiles due today.

The focus would be on gasoline supplies in the United States, which are under pressure during the main driving season -- when many Americans take to the highways for summer vacations.

Tony Nunan, of Mitsubishi Corp's international petroleum business in Tokyo, said many players expected a large increase in US refinery run rates and a corresponding build in gasoline inventories.

"Everybody's expecting a large increase in refinery runs in the United States," Nunan said.

He said downward pressure on prices has also come from speculators who have cashed in their positions and taken profits.