Oil falls below $82 dollars in Asian trade

SINGAPORE: Crude prices slid beneath 82 dollars in Asian trade Friday as the greenback staged a slight comeback against the euro, analysts said.

New York's main contract, light sweet crude for December delivery, fell 22 cents to 81.96 dollars a barrel.

Brent North Sea crude for December shed 16 cents to 83.43 dollars.

Crude prices were reacting to the stronger dollar, said Victor Shum of Purvin and Gertz energy consultants in Singapore.

"The US dollar has strengthened a bit against the euro and that correlates with the movement of oil prices," he said.

The euro bought 1.3900 US dollars in Asian morning trade, down from 1.3929 dollars in the US Thursday.

A strong greenback deters traders using other currencies from buying dollar-priced crude.

Shum said the market was also eyeing next week's US Federal Reserve meeting for indications of the scope of any new US stimulus plans.

"Much will depend on the US Federal Reserve meeting on November 2nd and 3rd.... People are speculating how much quantitative easing" the Fed will implement, he said.