NYMEX-Crude ends down on consumer sentiment worries

* Consumer confidence falls more than expected in July

* US equities dip on consumer confidence, earnings worry

NEW YORK, July 28 (Reuters) - U.S. crude oil futures ended
lower on Tuesday as oil and equities markets retreated after an
industry group reported that consumer confidence fell more than
expected in July.

"The petroleum markets are backing off from the highs,
seemingly prepared, along with the S&P 500, to at least take a
break from the recent rally," said Tim Evans, analyst at Citi
Futures Perspective.

Front-month September crude futures have dropped from
Monday's high of $68.99, the highest intraday since July 2's
$69.74.

On Wall Street, the Dow industrials and S&P 500 slipped as
signs of strong economic recovery were put to the test by the
consumer confidence report and disappointing quarterly results.
But the Nasdaq edged higher, lifted by gains in the
biotechnology sector. [.N]

The industry group Conference board said its index of
consumer attitudes slid to 46.6 in July from 49.3 in June.
Economists in a Reuters poll had expected a reading of 49.0
[ID:nN28106587]

The U.S. dollar rose from its lowest level of the year as
weak consumer confidence rekindled worries about U.S. economic
recovery. [USD/]

PRICES

* On the New York Mercantile Exchange, September crude
CLU9 settled down $1.15, or 1.68 percent, at $67.23 a barrel,
trading from $66.48 to $68.86.

* In London, September Brent crude LCOU9 settled down 93
cents, or 1.31 percent, at $69.88 a barrel, trading from $69.07
to $71.36.

* NYMEX August RBOB RBQ9 ended down 2.41 cents, or 1.25
percent, at $1.9106 a gallon, trading from $1.8960 to $1.9475.

* NYMEX August heating oil HOQ9 fell 3.19 cents, or 1.78
percent, to $1.7647 a gallon, trading from $1.7575 to $1.8045.

* August refined products contracts expire on Friday.

* The September/September RBOB crack spread <0#RB-CL=R>
ended at $11.70, edging up from $11.65 on Monday. The
September/September heating oil crack spread <0#CL-HO=R> was at
$7.88, dropping from $8.11 on Monday.

* The spread between the current front month and the
five-year forward crude contract CLc61 ended at $18.70,
widening from $18.08 on Monday. The September 2014 contract
Monday settled $85.93, down 53 cents, or 0.61 percent.

TECHNICALS

NYMEX crude 10-day/20-day moving average: $65.32/$64.29

Technical support/resistance:

NYMEX crude: $68.00/$70.00

NYMEX heating oil: $1.67/$1.80

NYMEX RBOB: $1.90/$1.95

For a full report on technicals, click on [ID:nLS540496]

MARKET NEWS

* U.S. crude oil inventories fell 1.3 million barrels last
week, a Reuters poll of analysts showed on Tuesday, ahead of
weekly industry and government inventory data. Distillate
stocks rose 1.3 million barrels and gasoline stocks gained
400,000 barrels, the poll showed. [EIA/S]

* Valero Energy Corp (VLO.N) said its Three Rivers, Texas,
refinery would have a turnaround in 2009 and Valero has
postponed a gasoline unit overhaul until 2010 at its Delaware
refinery. [ID:nN28541790]

* Beijing has approved the expansion of the Aoshan
strategic crude oil reserve base in eastern China by adding
18.9 million barrels in storage capacity. [ID:nPEK205489]

* China will trim retail fuel prices by a modest 3 percent
after two big increases last month. [ID:nPEK204930]

* Worldwide diesel and jet fuel volumes stored at sea
worldwide have risen by 10 million barrels since June to about
72 million barrels. [ID:nSP185516]

* Shell Pipeline Co (RDSa.L) said it was working to control
a Eugene Island crude oil pipeline leak in the Gulf of Mexico.
[ID:nN28139243]
(Reporting by Gene Ramos and Robert Gibbons; Editing by
Christian Wiessner)