RTE:Oil prices fall amid subdued demand after storm Sandy
Benchmark crude for December delivery fell 28 cents to $86.81 a barrel in electronic trading on the New York Mercantile Exchange.
In London, Brent crude, which is used to price international varieties of oil, fell 20 cents to end at $107.97 a barrel.
Despite ongoing disruptions at refineries and supply terminals in the US northeast, analysts said the US remained stocked with sufficient supplies and that demand for crude oil would be lower than anticipated for a few weeks.
Analysts said the storm's impact on the oil market would likely be temporary, assuming the resumption of refinery operations.
Benchmark oil gained 85 cents to finish at $87.09 per barrel in New York yesterday, with positive US economic news helping to boost prices.
Reports for October showed manufacturing expanded for the second month in a row, private businesses added more jobs and consumer confidence was at the highest level in nearly five years. And the government says crude inventories shrank last week.
The next key report is due this afternoon when the US government releases the October jobs data.