UPDATE SON OCT 4 2008

OCT 4 SATURDAY

Oil Is Steady Amid Concern Rescue Won't Halt Economic Slide .

Crude oil was little changed amid skepticism that a $700

billion bank-rescue plan will keep the U.S. from falling

into a recession, curbing demand.

Oil prices are down 12 percent for the week, the biggest

drop since 2004, amid higher borrowing costs and reports

showing a worsening economy. U.S. fuel demand averaged

19 million barrels a day during the past four weeks, the

lowest since October 2001, the Energy Department said

in an Oct. 1 report.

Crude oil for November delivery fell 9 cents to $93.88 a

barrel at 2:45 p.m. on the New York Mercantile Exchange,

the lowest settlement price since Sept. 16. Prices, up 17

percent from a year ago, have dropped 36 percent from

the record $147.27 a barrel reached on July 11.

U.S. payrolls fell by 159,000, more than expected in

September, after a 73,000 decline in August, the Labor

Department reported today in Washington. An Institute

for Supply Management report on Oct. 1 showed that

manufacturing shrank in September at the fastest pace

since the last recession in 2001.

Brent crude oil for November settlement declined 31

cents, or 0.3 percent, to settle at $90.25 a barrel on

London's ICE Futures Europe exchange, the lowest

since Sept. 16.