New York oil slips from two-year peak to $109

LONDON: Oil fell as traders eyed a possible delay to US-led military action against Syria, one day after New York crude had struck a two-year high point.
New York’s main contract, West Texas Intermediate (WTI) for delivery in October, sank 94 cents to $109.16 per barrel.
Brent North Sea crude oil for October dropped 69 cents to $115.92.
The oil market had surged in intra-day trading on Wednesday in anticipation of a Western crackdown on Syria.
At one stage, New York crude hit $112.24 to reach the highest level since early May 2011, while Brent soared to $117.34, last seen in late February.
“Oil prices have slipped, after surging yesterday on concern that the Syrian conflict could spread throughout the Middle East and threaten oil supplies,” said trader Matt Osborne at British-based energy broker Inenco.
“The possibility of a delay in a US-led military strike on Syria has helped to calm concerns over disruptions to Middle East supply. WTI oil has dropped from a two-year high also helped by higher-than-expected US crude stockpiles, which rose the most in four months.”
Although Syria is not a major oil producer, traders are nervous about a broader conflict in the crude-rich Middle East region.
“The (oil) market remains nervous over an imminent US and UK led strike against Bashar Assad’s forces in retaliation for recent chemical attacks against innocent citizens,” said VTB Capital analyst Andrey Kryuchenkov.