NEW YORK (AP) — Oil prices are falling after China announced it would raise interest rates to control inflation.
Benchmark crude gave up 52 cents at $107.95 per barrel in morning trading on the New York Mercantile Exchange.
Analysts say they're still concerned about uprisings in North Africa and the Middle East, which supplies about 27 percent of the world's oil. But higher interest rates in China could slow its economy and shrink its appetite for oil.
Analysts also say the arrival of an oil tanker in one of Libya's rebel-held eastern ports could mean that oil may start flowing from the country sooner than expected. Before the rebellion, Libya exported about 1.5 million barrels of oil per day — mostly to Europe. Those shipments have all but shut down.
