The 2009 Atlantic hurricane season officially starts, and oil prices are now at $68

US Energy Secretary Steven Chu said in an interview at the Reuters Global Energy Summit in Washington that while the jump in oil prices reflects an improving economy, additional price hikes could slow the economic recovery

clipped from www.businessday.co.za The dollar, which hit its lowest this year a day ago and made oil more attractive to investors, steadied today. US crude (CLc1) fell 43 cents to $68,15 a barrel by 0158 GMT after hitting its highest settlement since Nov. 4 yesterday. London Brent crude (LCOc1) dipped 40 cents to $67,57. “Prices are a little inflated based on inventories in the United States and in terms of real demand, but if you have to pick a direction for oil, it has to be up, based on the favourable indicators,” said Ben Westmore, a commodities analyst at National Australia Bank. A Reuters survey of analysts forecast weekly US inventory data would show a 1,5-million-barrel decline in crude stocks for the week to May 29, while gasoline and distillate inventories were seen rising. The 2009 Atlantic hurricane season officially started yestyerday and would run through Nov. 30, but analysts said the potential supply impact for this year would likely be softer because US stockpiles were brimming.