World oil prices extended losses in Asian trade Thursday on spreading economic concerns, hitting fuel demand in leading oil consumers. Light sweet crude for October delivery was seen trading at $88.45 a barrel at 12.30 a.m Singapore time while Brent crude was seen at $112.54 a barrel in London. Analysts said the black Gold is likely to extend losses during the day on speculation that a credit crunch may reappear and crisis in euro zone sovereign debt might carry over to banks. Oil prices were also hit by an increase in US Gasoline stockpiles which rose 1.94 million barrels last week, reports Energy Department. Consumption of the motor fuel dropped 1.2 percent to 8.85 million barrels a day in the week ended Sept. 9, the lowest since May, the report showed. Supplies of distillate fuel, a category that includes Heating Oil and diesel, rose 1.71 million barrels to 158.5 million, the highest since February On Wednesday, light sweet crude for delivery in October dropped $1.30 to close at $88.91 a barrel. The benchmark WTI futures contract had added about $3 over the past two days, finishing on Tuesday above $90 a barrel for the first time in six weeks. In London, Brent North Sea crude for October gained, adding 51 cents to settle at $112.40 on the IntercontinentalExchange.

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