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Tuesday, December 2, 2008

UPDATES ON DEC 2 2008

DEC 2 TUESDAY

SHORT TERM TREND : BEARISH

LONG TERM TREND : BEARISH

S1 RS 2545 , S2 RS 2500 , S3 RS 2460

R1 RS 2630 , R2 RS 2675 , R3 RS 2710

STAY SHORT AT RESISTENCE.

Crude Oil Falls on Signs of Further Contraction

in U.S. Economy .

Crude oil fell to the lowest in more than three years in New York

on signs that the economy in the U.S., the world's largest energy

consumer, is in a more severe economic slowdown than expected.

Crude oil for January delivery dropped as much as $1.70, or

3.5 percent, to $47.58 a barrel in after-hours trading on the

New York Mercantile Exchange. That's the lowest since May 20,

2005. It was at $47.90 at 12:36 p.m. in Singapore. The contract

fell $5.15, or 9.5 percent, to $49.28 a barrel yesterday, the

lowest settlement since May 23, 2005.

Oil prices have tumbled 67 percent since reaching a record

$147.27 on July 11 as the U.S., Europe and Japan face their

first simultaneous recession since World War II.

U.S. crude-oil inventories probably rose for a 10th week as imports

rebounded, a Bloomberg News survey of analysts showed.

Crude-oil stockpiles probably climbed 850,000 barrels in the

week ended Nov. 28 from 320.8 million the week before, according

to the median of six analyst estimates before an Energy

Department report this week.

Brent crude oil for January settlement fell as much as $1.67, or

3.5 percent, to $46.30 a barrel, on London's ICE Futures

Europe exchange. It was at $46.56 a barrel at 12:36 p.m.

Singapore time. The contract yesterday declined $5.52, or 10

percent, to settle at $47.97 a barrel. It was the lowest settlement

since May 19, 2005.

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