Oil was down in Asia on Friday as hopes that US Federal Reserve chief Ben Bernanke will announce a new economic stimulus package faded, analysts said.
New York’s main contract, light sweet crude for delivery in October retreated seven cents to $94.55 a barrel and Brent North Sea crude for October delivery fell 21 cents to $112.44.
Traders were not holding much hope that Bernanke, due to speak Friday evening at Jackson Hole, Wyoming, would announce fresh stimulus measures, IG Markets said in a market commentary.
“On the eve of the long-waited, highly-anticipated and much-hyped Jackson Hole symposium the watchword was defence as traders reduced their risks,” it said.
“High hopes of QE3 have been edging down this week as US economic data continues to show mild strengthening and less need for central bank intervention,” it added.
US economic data Thursday showed consumer spending rebounding in July while initial jobless claims held steady, indicating the economy is stabilising and strengthening the argument that a fresh stimulus is not needed for now.
