LONDON (SHARECAST) - Oil prices fell on Tuesday amid a resurgent dollar, a decline among US equities and as hurricane Ida was downgraded to a tropical storm as it hit Alabama's shores.
US Crude for December delivery settled 38 cents lower at $79.05 a barrel on the New York Mercantile Exchange.
On Tuesday both the US Energy Information Administration and International Energy Agency upwardly revised their forecasts for 2010 crude oil demand. However the EIA is predicting sluggish demand from the US.
Gold continued its march higher on Tuesday, albeit at a more cautious rate, with gold for December delivery rising $1.10 to settle at $1,102.50 an ounce on the New York Mercantile Exchange.
The bounce in the dollar hampered appetite for the yellow metal, which hit an intraday record high of $1,111.70 on Monday in electronic trading.
December silver fell 26 cents to close at $17.22 an ounce.
