Oil sees near 8-month low, below $84 a barrel

NEW YORK - The Associated Press

Oil hovered below $84 a barrel yesterday, wavering near an eight-month low as doubts remain whether European leaders can contain the continent’s debt and economic crisis.

By early afternoon yesterday in Europe, benchmark oil for July delivery was down 24 cents to $83.74 per barrel in electronic trading on the New York Mercantile Exchange. The contract rose 75 cents to settle at $83.98 in New York on June 4.

In London, Brent crude for July delivery was down 77 cents at $98.08 per barrel on the ICE Futures exchange.

Crude fell below $82 Monday, the lowest since October. Expectations that a global economic slowdown will reduce demand for crude dragged prices down 23 percent in the last month.

Investors are hoping European policymakers can stem a debt crisis that has sent Greece into a deep recession and stalled growth in several other countries.

Finance officials from the Group of Seven industrialized powers were scheduled to hold emergency talks by phone after the Daily News went to print yesterday.

Greece effect
“We will expect some additional choppy, sideways trade as this week proceeds,” energy trader and consultant Ritterbusch and Associates said in a report.

“We do feel that this pronounced bear market of the past month remains much alive.” Later this month, Greek elections, a quarterly OPEC meeting and another round of talks between Iran and world powers about that country’s nuclear program will likely affect oil prices.