Oil hovered around $76 in volatile Asian trade today on weak economic data which dampened hopes for a swift US rebound from recession.
New York's main contract, light sweet crude for delivery in August, was down nine cents to $76.53 a barrel in morning trade. Brent North Sea crude for September delivery added seven cents to $76.02.
"Some economic data in the United States are signalling slower economic growth and that has put a lid on any price rally," said Victor Shum, an analyst with energy consultancy Purvin and Gertz in Singapore.
Doubts about the strength of the US recovery were fuelled by reports yesterday that manufacturing activity in the state of New York and in the Philadelphia region was weaker than expected this month.
The strength of the economic rebound in the United States is being closely watched by investors because it consumes more energy than any other country in the world.
Shum told AFP concerns over the US economy were weighing down on Asian stocks Friday and the sentiment was likely to spill over into the oil market.
"I see some downward pressure from the Asian equities markets... I don't think we're going to see a whole lot of gains in oil," he added.
Oil prices are likely to trade between $70 and 80 a barrel for some time, Shum said.
"There is really no big driver to cause oil to break out of this range," he said.
