Oil prices ease to USD 68.19 a barrel

Brent North Sea crude for delivery in July eased 41 cents to USD 67.76.

“It’s just gone up too fast too quickly,” said Tony Nunan,risk manager at Mitsubishi Corp in Tokyo,adding that he expected prices to rise in the short-term in tandem with the rally seen in global equities markets.

“The trend is up because equities are strong and the dollar is weak,” said Nunan.

A weak US currency makes dollar-priced oil cheaper for holders of stronger foreign units,in turn stimulating demand and pushing up prices.

The market was also being affected by reports that some members of the Organisation of the Petroleum Exporting Countries (OPEC) were not adhering to agreed output cuts,another analyst said.

“There was definitely some profit taking in the overnight and early on,we did get some reports about OPEC output going up for the first time in several months,” said John Kilduff of MF Global.