* U.S., Japanese data point to lower oil consumption
* U.S. GDP grows 5.7 percent in Q4, fastest in six years
* U.S. equities fall on euro worry
(Updates prices at settlement, adds detail on crude drop)
By Edward McAllister
NEW YORK, Jan 29 (Reuters) - Oil prices fell 1 percent to
below $73 a barrel on Friday, marking a more than 8 percent
loss for the month, as lagging energy demand outweighed
stronger-than-expected U.S. economic data.
U.S. oil for March delivery <CLc1> fell 75 cents to settle
at $72.89 a barrel, down $6.47 versus the end-December close.
In London, ICE Brent crude for March <LCOc1> fell 67 cents
to settle at $71.46 a barrel.
Reports on Friday showed tepid energy demand in Japan and
the United States, adding to data this week showing rising U.S.
fuel stockpiles and expectations that OPEC producers will boost
exports.
U.S. oil demand shrank 2 percent in the past four weeks
from a year earlier, while Japanese data showed crude imports
fell 2.6 percent in December and gasoline sales tumbled 2.4
percent. []
The data offset news that the U.S. economy grew a
faster-than-expected 5.7 percent in the fourth quarter of 2009,
the quickest pace in more than six years, according to the U.S.
Commerce Department. []
U.S. stock markets fell as worries about fiscal turmoil in
Europe offset the encouraging U.S. GDP data. The oil market has
looked to wider economic data for signs of economic recovery
and a potential rebound in energy demand.
"Equities are down and the euro continues to fall against
the dollar. If stocks end down and leave a bad taste in the
mouth to end the month then there could be some negative follow
through next week," said Richard Ilczyszyn, senior market
strategist at Lind-Waldock in Chicago.
Oil prices have been pressured this week by a stronger
dollar, which on Friday rose to its highest level in more than
six months against the euro on jitters about European economies
including Greece and Portugal. []
A stronger dollar often indicates investors are funneling
cash away from riskier assets, such as commodities. It also can
curb demand for crude oil from buyers who hold other
currencies, since oil is priced in dollars.
China's moves to rein in credit also raised concerns about
the pace of economic growth and oil demand.
"Current prices do not reflect the fundamentals of demand
and supply and could go a lot lower," said Eugen Weinberg,
commodities analyst at Commerzbank.
Chevron Corp <CVX.N> posted a 37 percent drop in quarterly
profit, missing Wall Street forecasts, as steep losses at its
refineries offset gains from higher oil prices and production.
[]
The chief executive of oil major Royal Dutch Shell <RDSa.L>
told Reuters Insider oil would not go back to its 2008 peak
level of more than $140 a barrel and was instead expected to
trade in a $60 to $80 range. []
This view found resonance in Tehran, where Iran's OPEC
governor was quoted on Friday as saying that oil prices would
not drop below $60 per barrel by July. []
(Additional reporting by Gene Ramos and Robert Gibbons in New
York, Christopher Johnson in London; Editing by David
Gregorio)
