Crude, Heating Oil Decline on Lower Demand Forecast

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rude oil futures fell in early trading Friday following a closing price of $57.80 on Thursday, the lowest since July 21, on projections of lower energy demand, Bloomberg reported.

Light sweet futures fell another 60 cents Friday morning to $57.20 a barrel, Bloomberg reported.

Heating oil futures — which often parallel diesel fuel in the winter — also fell to the lowest level in three months, Bloomberg said.

The declines followed an International Energy Agency report that showed world oil use will be 85.01 million barrels next year — 140,000 below last month’s projection, Bloomberg reported.

Crude oil futures have dropped almost 20% since topping out at an all-time high of $70.85 a barrel on Aug. 30 following Hurricane Katrina.

The IEA represents 26 countries, including the United States.