US fears push prices lower
Oil prices fell in Asia today on fears of slowing US demand.
US September crude fell $1.07 to $120.34 a barrel, while London's Brent dropped 77 cents to $119.91.
Prices are below $120 for the first time in three months as US consumer spending falls.
Crude prices also fell as a potential hurricane threat in the Gulf of Mexico retreated. Tropical Storm Edouard is set to make landfall today around the border of Texas and Louisiana, but is not expected to threaten oil installations.
Gloomy data from the US Commerce Department that show consumer spending cooling offset concerns over Iran's nuclear programme.
Iran missed a deadline over the weekend to respond to an international package of incentives aimed at persuading Tehran to freeze uranium enrichment.
The US State Department said yesterday that it and the five other powers, including the UK, who are presently holding nuclear talks with Iran had threatened to pursue new punitive action measures against Tehran.
