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WSJ:OIL FUTURES: Crude Gets Off To Another Down Start
 
--Oil futures slip in morning trading to $91.94 a barrel

--Macro uncertainty adds to weak supply-demand fundamentals weighing on market

--Prices breach key support level, potentially setting up big slide


By Christian Berthelsen
Of DOW JONES NEWSWIRES


NEW YORK -(Dow Jones)- Oil futures got off to another down start Friday morning, on pace for a sixth consecutive decline to another 2012 low.

Light, sweet crude for June delivery fell 62 cents, or 0.7%, to $91.94 a barrel on the New York Mercantile Exchange. Brent crude on the ICE Futures Europe exchange was up 20 cents, 0.2%, to $107.69 a barrel.

Uncertainty over financial conditions in Europe and macro-economic trends in the U.S. have added to worries about weak supply-and-demand fundamentals in the oil market, which have combined to drive oil prices down more than 13% since the start of the month.

"There's just a lot hanging over the market right now," said Pete Donovan, an oil trader and vice president of Vantage Trading. "We've come off a long way from the highs, and that continues to be the case. A lot of that risk premium just got flushed out of the market."

With this morning's move, prices have dipped below the key technical support level at $92.50 that analysts and traders have said was the only thing standing between a big slide lower, possibly to the mid-$80s region.

"Although WTI is posting negligible change at the present time due to limited guidance from the equity or currency markets, fresh lows overnight are keeping this bear move much alive," Ritterbusch and Associates said in a note.

Front-month June reformulated gasoline blendstock, or RBOB, recently rose 0.7% to $2.8967 a gallon. June heating oil was flat at $2.8480 a gallon.

-By Christian Berthelsen, Dow Jones Newswires; 212-416-2381; christian.berthelsen@dowjones.com
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