* Oil prices recover as U.S. dollar weakens
* Swelling U.S. oil stocks highlight demand weakness
* Total's CEO says fundamentals don't support prices
(Updates price activity)
NEW YORK, Nov 13 (Reuters) - Oil prices on Friday touched the lowest
level in a month as bulging fuel inventories in the United States stirred
demand concerns.
U.S crude futures <CLc1> traded down 59 cents to $76.35 a barrel by
2:28 EST p.m. (1928 GMT), after earlier touching $75.57 a barrel, the
lowest level since mid-October. In London, Brent crude futures <LCOc1> fell
47 cents to $75.55 a barrel.
Crude's losses extended a 3 percent drop on Thursday after the U.S.
Energy Information Administration reported crude and product stocks in the
world's largest energy consumer rose more than expected last week. []
A rise of 1.8 million barrels in U.S. crude oil stocks and an increase
of 2.5 million barrels in gasoline stocks came as data showed demand still
trailing year-ago levels.
Fuel consumption in the United States and other large industrial
countries was battered by the economic crisis, pushing crude prices off
record highs near $150 a barrel in July 2008 to below $33 a barrel in
December.
Prices have recovered since then as markets look toward an economic
rebound that could boost oil demand.
"Crude futures are down, still hurt by Thursday's dismal inventory
report showing petroleum inventories rose, with demand down, even though
refinery rates were down a lot," said Gene McGillian, analyst for Tradition
Energy.
"There's a battle in the oil markets between bearish fundamentals and
expectations on when the economy turnaround will come."
Oil prices found some support in early afternoon trade from the weaker
U.S. dollar following U.S. data that showed a big jump in the U.S. trade
deficit. []
A weaker dollar can boost demand for oil, which is priced in dollars,
since it makes the commodity cheaper for holders of other currencies.
U.S. consumer sentiment fell in early November to the weakest level in
three months amid grim expectations for job and income prospects, a survey
showed on Friday. []
Energy experts say current fundamentals may not support crude prices.
"Today the price of oil may be $70 or $80, tomorrow it may even be
$90," Christophe de Margerie, CEO of French oil major Total <TOTF.PA>, said
late Thursday. "If you look at supply and demand, the price should be
lower." []
Exxon Mobil Corp <XOM.N> Chief Executive Rex Tillerson said winter
heating demand alone was unlikely to significantly reduce the global fuel
inventory glut. []
The International Energy Agency, adviser to 28 industrial nations, said
on Thursday the world would use more oil in the fourth quarter of this year
than in 2008 due to a rebound in energy demand in Asia. []
(Reporting by Joshua Schneyer, Matthew Robinson and Gene Ramos in New
York; Additional reporting by David Sheppard in London and Felicia Loo in
Singapore; Editing by John Picinich)
