Posted: Nov 26, 2012 3:07 PM
Source: Associated Press
NEW YORK - Oil is back below $88 per barrel after a slow day of trading.
Analysts are giving two reasons for the decline. One is that the truce between Israel and Hamas in the Gaza Strip appears to be holding. The second is that traders are worried that negotiations over the next installment on Greece's bailout could fail.
Oil prices closed lower by 54 cents at $87.74 on the New York Mercantile Exchange.
Oil prices tend to fall when there are worries that slow economic growth will hurt demand.
Prices are also down for other petroleum products. And AAA says gasoline prices at the pump fell a fraction of a penny to $3.423 per gallon.
Volume was low after the Thanksgiving holiday weekend.