NYMEX-Crude ends down nearly 2 pct on strong dollar

Fri Mar 19, 2010 4:28pm EDT

 * Euro's fall on Greece woes lifts dollar, pressures oil
 * CRB commods index drops to lowest level since Feb 25
 * India interest rate hike, stronger dollar hits gold,
 * Poll: Stocks may rise in 2010 as OPEC pumps above target
 NEW YORK, March 19 (Reuters) -  U.S. crude oil futures
ended nearly 2 percent lower on Friday, as the dollar gained
against the euro, prompting a sell-off in an array of
commodities.
 Prices also fell as traders were closing out positions on
the front-month NYMEX April crude contract, which expires on
Monday.
 An interest rate increase in India added to concerns about
potential monetary policy tightening in China and jitters about
future global oil demand.
 The commodities sell-off pulled down the Reuters/Jefferies
commodities index .CRB by 1.1 percent, its biggest fall since
Feb. 25.
 "Commodities sold off after the Reserve Bank of India
raised its repurchase rates by 25 bps. The markets obviously
recalled that the overly lax monetary policy will not go
forever and became concerned about possible further tightening,
not only in India but also in China," said Eugen Weinberg, head
of Commodities Research at Commerzbank in Frankfurt.
 The euro was headed for its worst week since January as
traders fretted whether Greece will secure euro-zone aid to
tackle its debt crisis. [USD/]
 Wall Street edged down, stemming the Dow industrials
average .DJI eight-session winning streak, as energy stocks
fell after crude oil prices tumbled on the dollar's rise. [.N]
 Gold dropped 2 percent as the dollar gained and on news of
the interest rate increase in India. [ID:nLDE62I1SK]
 PRICES
 * On the New York Mercantile Exchange, April CLJ0 crude,
which expires on Monday, settled $1.52, or 1.85 percent lower,
at $80.68 a barrel, trading from $79.86 to $82.17. The contract
fell for a second day in a row and for the second consecutive
week. For the week, it was off 56 cents, or 0.69 pct.
 * On a settlement basis, the day's loss was the worst since
Feb. 25 when front-month crude fell 2.29 percent.
 * In London, May Brent crude LCOK0 settled down $1.60, or
1.96 percent, at $79.88 a barrel, trading from $79.20 to
$81.42. For the week, front-month Brent was up 49 cents, or
0.62 percent.
 * NYMEX April RBOB RBJ0 ended down 4.53 cents, or 1.97
percent, at $2.2556 a gallon, trading from $2.2350 to $2.3039.
It was down for a second straight day but was up a sliver for
the week, by 0.06 cent, or 0.03 percent.
 * NYMEX April heating oil HOJ0 closed down 4.24 cents, or
2.0 percent, at $2.0767 a gallon, trading from $2.0502 to
$2.1160. Also down for the second consecutive day and for the
second straight week. For the week, it was down 1.73 cents, or
0.83 percent.
 * The April/April heating oil crack spread <0#CL-HO=R>
ended at $6.54, down from $6.80 on Thursday. The April/April
RBOB crack spread <0#RB-CL=R> ended at $14.06, dipping from
$14.44 on Thursday.
 * The spread between the current front month and the
five-year forward crude contract CLc61 was at $6.31, widening
from Thursday's $5.98. The April 2015 contract settled Friday
at $86.99, down $1,19, or 1.35 percent.
 TECHNICALS
 NYMEX crude 10-day/20-day moving average: $81.70/$80.74
 Technical support/resistance:
 NYMEX crude: $81.70/$83.95
 NYMEX heating oil: $2.10/$2.1440
 NYMEX RBOB: $2.2750/$2.3150
 For a full report on technicals, click on [ID:nLDE62I13I]
 MARKET NEWS
 * Royal Dutch Shell (RDSa.L) said it was checking reports
of an attack on one of its pipelines in Nigeria after a
militant faction claimed to have blown up part of an oil
facility. [ID:nLDE62I1JV]
 * Global oil demand will grow faster than new supplies
outside OPEC's control in 2010, but stocks are likely to rise
as OPEC is pumping more crude than the market needs with prices
above $80 a barrel, according to a Reuters poll of ten top
oil-tracking analysts and organizations. [ID:nLDE62I0WN]
 * Refinery output in 16 European countries fell 8.4 percent
in February from the year-ago period as refiners capped output
due to weak demand and seasonal maintenance. [ID:nLDE62I19R]
 (Reporting by Gene Ramos and Robert Gibbons; Editing by David
Gregorio)


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