UPDATE

MARKET UPDATE FEB 10



Oil prices fell 5 percent on Tuesday to below $38

a barrel after the U.S. government revised its oil


demand forecasts lower and on concerns the U.S. stimulus

plan unveiled by the Obama administration will not

stem the recession.


The U.S. Senate voted to pass an $838 billion


economic rescue plan, setting the stage for tough


negotiations over the final size and scope of spending

and tax cuts aimed at reversing the deep recession.

U.S. crude fell $2.01 to settle at $37.55 a barrel. London

Brent settled down $1.41 at $44.61 a barrel.


The U.S. Energy Information Administration revised

down its 2009 global oil demand forecast by 400,000

barrels per day from the previous outlook, predicting

demand will fall by 1.17 million bpd this year from

2008 levels.