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Tuesday, September 2, 2008

UPDATES ON SEPT 2 2008

SEPT 2 TUESDAY

SHORT TERM TREND : SIDEWAYS

LONG TERMTREND : BEARISH

S1 RS 4900 , S2 RS 4830

R1 RS 4960 , R2 RS 5040

SELL AR RS 4960 TO 4965

STOP LOSS RS 5020

TARGET RS 4860.

Oil Trades Near 4-Month Low as Drillers, Refiners Assess Damage .

Crude oil traded near a four-month low as producers and

refiners prepared to restart output and started assessing

the damage to production facilities after Hurricane

Gustav struck the U.S. Gulf Coast.

Gustav was downgraded to a Category 2 hurricane before it

crossed the coast and is easing as it heads inland. Royal Dutch

Shell Plc will begin checks today and may restore full output

in three to five days. ConocoPhillips said there was no significant

damage to a platform in the area.

Crude oil for October delivery was at $111.20 a barrel, down

3.7 percent, at 10:49 a.m. Singapore time from the close of

Aug. 29 on the New York Mercantile Exchange. Yesterday's

trading is combined with today's for settlement purposes

because of the Labor Day holiday in the U.S.

Oil prices have fallen 24 percent from the record $147.27 a

barrel reached on July 11 on signs of slowing global demand

and as the rising dollar reduced the appeal of commodities.

Prices jumped to $118 yesterday as Gustav crossed the

Gulf of Mexico as a Category 4 hurricane, the second-

highest ranking. The storm eased as it neared shore

southwest of New Orleans.

Brent crude oil for October settlement rose as much as $1.04,

or 1 percent, to $110.45 a barrel on the ICE Futures Europe

Exchange and was trading at $109.78 at 10:50 a.m. in Singapore.

The contract fell 4.1 percent to $109.41 yesterday, the lowest

close since April 11.


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