London (Platts)--15Jan2008

Crude futures drifted slightly lower Tuesday, resuming the main bearish
trend of 2008 and negating some of the rally seen Monday, sources said.

At 10:10 GMT the February ICE Brent contract fell 46 cents to
$92.46/barrel while NYMEX WTI was at $93.62/b, down 58 cents.

"I think the mood is bearish," a London-based broker said. "so after
the geopolitical news of Iran and Nigeria blew over, the market confirmed it's
bearish sentiment."

Prices surged higher Monday in a broad-based rally across the commodity
sector that was initiated by a fall in the US dollar, and more specifically to
oil, prices surged due to supply problems continuing in Nigeria.

News that Shell declared force majeure on Forcados loadings that will
affect both January and February programs helped boost prices.

However, since the start of 2008 when crude futures hit all-time highs
prices have slipped around $6/barrel as fears of a US economic slowdown,
growing US product stocks and a generally stronger US dollar forced market
players to lighten their long positions.

Among the products ICE gasoil moved lower with the February contract
falling $1.25/mt to $807.25/mt. NYMEX products were also lower with heating
oil off by 64 points to be pegged at $2.5828/gallon, ignoring the arrival of
colder temperatures along the Atlantic Coast. February RBOB was at
$2.3629/gal, 99 points lower.

--Jean-Luc Amos, jean-luc_amos@platts.com