Oil prices retreated today as traders took profits after crude futures closed above the $70-a-barrel mark last week for the first time in almost a year.
Light, sweet crude for August delivery lost 31 cents to $70.37 a barrel in Asian electronic trading on the New York Mercantile Exchange, mid-morning in Singapore.
The contract on Friday rose $1.11 to settle at $70.68 a barrel after rising as high as $71.06 in intraday trading. The Nymex front-month oil contract last closed above $70 a barrel on the last day of August 2006.
"The key concern remains about making enough gasoline to meet summer demand," Victor Shum of Purvin & Gertz in Singapore said. "Coming into this week in the United States, with the July 4th holiday in the middle of the week, expectations are that demand for gasoline will be high as many people will be driving."
US gasoline demand is especially strong between the July Fourth holiday and Labour Day in September.
August Brent crude futures fell 22 cents to $71.19 a barrel on the ICE Futures exchange in London.
Nymex heating oil futures dropped 0.14 cent to $2.041 a gallon. Natural gas prices lost 9.3 cents to $6.68 per 1,000 cubic feet.