CORRECTED - CORRECTED-Oil dips under $80 after rising on U.S. crude draw

                                
 (corrects headline to say crude draw)
                                
 * Eyes on equities markets, economy as tarders take profit
                                
 * Lower U.S. crude, fuel stocks had offered support
                                
 * Focus turns to U.S. jobs data due out on Friday
                                
 By James Topham
                                
 SINGAPORE, Nov 5 (Reuters) - Oil fell below $80 a barrel on
Thursday, after a steep decline in U.S. crude inventories sent
prices up 1 percent the previous day, as traders look to the
fall in equities markets to take profits despite the weak
dollar.
                                
  The U.S. dollar was moving towards recent multi-month lows
on a basket of currencies on Thursday, after the U.S. Federal
Reserve reiterated its commitment to keep rates low for months
to come, but this did not help to lift oil. [FRX/]
                                
 U.S. crude for December <CLc1> fell 61 cents to $79.79 a
barrel by 0339 GMT, after settling up 80 cents on Wednesday.
                                
 London Brent crude <CLc1> lost 59 cents to $78.30 a barrel.
                                
 "Today the market is down a little bit as we get a bit of a
correction, after two days of fairly big gains," said Tony
Nunan, risk manager at Tokyo-based Mitsubishi Corp.
                                
 Crude oil futures rose above $81 a barrel on Wednesday
after the U.S. government Energy Information Administration
(EIA) data showed a big drop of 4 million barrels, in the week
to Oct. 30, versus analysts' expectations for an increase.
[EIA/S]
                                
 Gasoline stockpiles also fell, down 300,000 barrels,
against forecasts for a slight build, while distillates dropped
a less-than-expected 400,000 barrels, the EIA said.
                                
 Traders said the fall in oil prices on Thursday was driven
by the weak stock markets in Asia, with Japan's Nikkei average
<.N225> down 1.4 percent and Hong Kong's Hang Seng index <.HSI>
retreated a nearly 1 percent.
                                
 "The equities markets are moving oil prices," said Soichi
Okuda, chief economist at Sumitomo Shoji Research Institute.
                                
 Energy traders have closely watched economic data and share
markets this year for signs of economic recovery that could
boost flagging oil demand.
                                
 Wall Street initially rallied after the Federal Reserve
said it would keep rates near zero for "an extended period"
even as it expressed confidence in the recovery, but soon lost
steam as investors turned their eyes to jobs data due out on
Friday.
                                
 U.S. employers in October cut payrolls by the least amount
in 14 months as the economy's resumption of growth boosted
optimism, but the jobless rate rose to a fresh 26-year high, a
Reuters survey predicts. [ID:nN03495528]
 (Editing by Sanjeev Miglani)