Oil prices were lower in Asian trade today as investors took profit after New York crude breached $70 a barrel for the first time in seven months late last week.
Weak energy demand from the ailing global economy is still weighing on the market despite the recent price rally, analysts said.
In morning trade, New York's main futures contract, light sweet crude for delivery in July, was down 47 cents at $67.97 a barrel.
The contract touched $70.32 in intraday trade Friday, its highest since November 4, before easing.
Brent North Sea crude for July delivery fell 45 cents to USD 67.89, after reaching as high as $69.91 in intraday trade Friday.
Despite the decline, "pricing continues to be very strong and the trade momentum is really resisting downward pressure from the fundamentals," said Victor Shum, an analyst with energy consultancy Purvin and Gertz in Singapore.
"Crude prices are due for a correction but trade momentum will continue to keep pricing at a strong level."
Shum said the oil price rebound is being driven by hopes that the ailing global economy will recover faster than anticipated.
But he also cautioned that there is more supply than demand and this should keep prices in check.
