World oil prices mixed in Asian trade

In this photo taken July 2, 2012, early morning sunlight illuminates fuel storage tanks at a North Little Rock, Arkansas, petroleum distributorship.AP FILE PHOTO

SINGAPORE – World oil prices were mixed in Asian trade Monday, with sentiment subdued as investors kept to the sidelines following weak US corporate earnings.

Investors were waiting for more news from US firms after heavyweights General Electric, McDonald’s and Microsoft reported poor corporate earnings last week.

New York’s main contract, light sweet crude for November, dipped four cents to $90.01 a barrel in morning Asian trade, while Brent North Sea crude for December gained 16 cents to $110.30.

“News out of the US is likely to dictate market action this week with more corporate earnings and economic data being released to an anxious audience,” said Justin Harper, an analyst with IG Markets Singapore.

“This week the earnings season continues with Caterpillar, UPS, Apple and Merck among the bellwether stocks announcing their results. But the picture looks pretty bleak for corporate America and is tugging at the prospects for global markets.”

Harper said global markets were also anticipating third quarter gross domestic product figures in the world’s biggest economy and largest oil consumer, with the eurozone debt crisis expected to remain as a dampener.

“For the near-term at the very least the eurozone should continue its zombie-like state – still alive thanks to EU intervention but with no clear direction as austerity measures bite,” he said.