Oil creeps toward $70 in Asia

SINGAPORE: Oil prices crept toward $70 a barrel Tuesday in Asia after dropping the last nine days on investor doubts about a recovery in U.S. crude demand.

Benchmark crude for January delivery was up 36 cents to $68.87 at midday Singapore time in electronic trading on the New York Mercantile Exchange. On Monday, the contract fell 36 cents to settle at $69.51.

Crude is down about 13 percent since reaching its 2009 high of $82 a barrel in October amid signs that demand for oil and its products remains weak.

Investors are also watching closely the U.S. dollar, which has reversed a year-long slide this month. Traders had been buying crude and other commodities as a hedge against inflation and a weaker currency.

The dollar rose 0.3 percent to 88.84 yen in Asian trading Tuesday and the euro was little changed at $1.4654.

In other Nymex trading in January contracts, heating oil held at $1.91 while gasoline gained 0.81 cent to $1.83. Natural gas rose 3.0 cents to $5.36 per 1,000 cubic feet.

In London, Brent crude for January delivery rose 22 cents to $72.11 on the ICE Futures exchange.