21 Mar 2009

Oil slips in price

9:16 am on 21 March 2009

Oil fell in price on Friday, due to economic concerns, the US dollar and a dip in the stock market.

US crude for April, which expires on Friday, settled at $US51.06 per barrel, down 55 cents. May crude was up 3 cents to settle at $US52.07 per barrel.

London Brent crude rose 55 cents to settle at $US51.22 per barrel.

Oil previously surged in price by 7% on Thursday after the US Federal Reserve announced a plan to buy long-term government debt and the dollar tumbled in value.

Crude reached a record $US147.27 per barrel on 11 July last year, but the global economic crash has shrunk demand for fuel.

The International Monetary Fund forecast on Thursday the world economy would contract in 2009 for the first time since World War II by between 0.5% - 1%.