Oil extends fall in Asian trade

SINGAPORE, Mar 10 (Commodity Online): Global oil prices extended losses in Asian trade Wednesday mainly on a US government report of increased crude stockpiles.

Light sweet crude for April delivery was seen trading at $81.25 a barrel at 11.30 am Singapore time while Brent crude was at $ 79.76 a barrel at the same time.

US crude inventories rose by 6.5 million barrels in the week to March 5, against analysts' forecasts for an increase of 1.9 million barrels, the industry-funded American Petroleum Institute (API) said Tuesday.

The US Department of Energy (DoE) will publish its latest weekly snapshot of US crude inventories Wednesday.

Analysts said markets awaited further signals on consumption from China, the world's second-largest oil user, whose February trade data for February is to be published Wednesday.

World stocks fell slightly Tuesday, but hovered just shy of six-week highs, and a rising yen signalled some investors are growing more risk averse.

On Tuesday, oil prices dipped slightly as the dollar rose and investors turned their attention to upcoming inventory data.

New York's main contract, light sweet crude for April delivery, settled down 38 US cents at $81.49 a barrel while Brent crude for April delivery settled at $80.27 a barrel.

The euro fell as low as $1.3537 Tuesday as investors sought the safe-haven US dollar after ratings agencies warned about deteriorating credit quality in Europe.