Oil prices stable after push above $69

LONDON: Oil prices steadied on Wednesday, a day after spiking above 69 dollars to reach a seven-month high, traders said.

New York's main futures contract, light sweet crude for delivery in July, fell three cents to 68.52 dollars a barrel, as the market awaited the latest weekly snapshot of energy inventories in the United States, the world's biggest oil-consuming nation. It had reached 69.05 dollars on Tuesday.

Brent North Sea crude for July delivery on Wednesday rose two cents to 68.19 dollars a barrel after earlier in the day spiking to a seven-month high of 68.65 dollars.

"The main drivers pushing crude prices higher are now a fast declining US dollar combined with technical factors," said analysts at ODL Securities in London.

A weak US currency makes dollar-priced oil cheaper for holders of stronger currencies, in turn stimulating demand and pushing up prices.

The market was waiting the release later Wednesday of a weekly energy reserves report by the US Department of Energy.

Last week Washington reported that US crude stockpiles had tumbled 5.4 million barrels in the week to May 22.