OIL prices retreated for a second day yesterday as concern grows over whether American consumers will spend more on energy in a sluggisheconomy.

Benchmark crude for September delivery fell US$2.23 to settle at US$78.02 a barrel on the New York Mercantile Exchange.

The Energy Department said crude oil stockpiles fell more than expected last month while gasoline inventories grew by 400,000 barrels to 355 million barrels.

Demand for gasoline over the past four weeks was about 3.3 percent higher than a year ago, but that includes the season when vacationers and teens on summer breaks join commuters on the roads.

With supplies fairly substantial, "it doesn't give traders a warm and fuzzy feeling for the fall," said Michael Lynch, president of Strategic Energy & Economic Research.

It could, however, translate into lower prices at the pump for U.S. motorists.

Traders also are concerned about rising stockpiles of distillate fuel, which includes heating oil and diesel fuel. The Energy Information Administration said those inventories rose 3.5 million barrels to 173.1 million barrels last week.

The plentiful supply could be another sign of a sluggisheconomy because diesel fuels the trucking industry, Lynch said.

"And it implies refiners will cut back even more and that will put a lot of pressure on crude," he added.

A series of grim economic reports added to concerns about demand for oil and gas.

The government said the U.S. trade deficit surged in June to the highest level since October 2008. While imports of foreign consumer goods hit an all-time high, U.S. exports faltered.

The International Energy Agency predicted global oil demand will increase 2.2 percent this year and continue to strengthen in 2011. It also said the short-term economic outlook "is highly uncertain" and that significant risks to oil demand growth remain.

In China, a big importer of oil, industrial growth slowed in July. It's an indication that country's economic growth is cooling off.

Tumbling oil prices came a day after the Federal Reserve said it would begin buying government bonds to help stimulate the economy.

The decline in oil matched a downturn in stocks as investors around the world took a dimmer view of the U.S. economy. The Dow Jones industrial average was down more than 250 points and all the major indexes fell more than 2 percent in late-afternoon trading.

Many oil traders watch stock markets for signs of consumersentiment about the economy.

In other Nymex trading in September contracts, heating oil fell 5.02 cents to settle at US$2.0752 a gallon, gasoline slid 8.77 cents to settle at US$1.9976 a gallon and natural gas settled up 2.9 cents at US$4.326 per 1,000 cubic feet.

In London, Brent crude dropped US$1.96 to settle at US$77.64 a barrel on the ICE Futures exchange.

• yesterday [´jestədi] n.&ad.昨天；前不久 (初中英语单词)
• energy [´enədʒi] n.活力，精力；能力 (初中英语单词)
• economy [i´kɔnəmi] n.经济；机制；组织 (初中英语单词)
• barrel [´bærəl] n.(琵琶)桶；圆筒 (初中英语单词)
• research [ri´sə:tʃ] n.&vi.调查；探究；研究 (初中英语单词)
• administration [əd,minis´treiʃən] n.管理(事务等)；经营 (初中英语单词)
• pressure [´preʃə] n.压榨 vt.对...施压力 (初中英语单词)
• series [´siəri:z] n.连续；系列；丛书 (初中英语单词)
• international [,intə´næʃənəl] a.国际的，世界的 (初中英语单词)
• agency [´eidʒənsi] n.代理商；机构；代理 (初中英语单词)
• strengthen [´streŋθən, ´strenθən] vt.加强 vi.变强 (初中英语单词)
• industrial [in´dʌstriəl] a.工业的，产业的 (初中英语单词)
• indication [,indi´keiʃən] n.指示；征兆，迹象 (初中英语单词)
• federal [´fedərəl] a.联邦的，联邦制的 (初中英语单词)
• sentiment [´sentimənt] n.情绪；多愁善感 (初中英语单词)
• delivery [di´livəri] n.送交；分娩；交货 (高中英语单词)
• gasoline [´gæsəli:n] n.汽油 (高中英语单词)
• substantial [səb´stænʃəl] a.实质的，真的 (高中英语单词)
• translate [trænz´leit, træns-] v.翻译；解释；说明 (高中英语单词)
• concerned [kən´sə:nd] a.有关的；担心的 (高中英语单词)
• plentiful [´plentifəl] a.丰富的；多的 (高中英语单词)
• consumer [kən´sju:mə] n.消费者；用户 (高中英语单词)
• significant [sig´nifikənt] a.重要的；意义重大的 (高中英语单词)
• stimulate [´stimjuleit] v.刺激；服兴奋剂 (高中英语单词)
• gallon [´gælən] n.加伦 (高中英语单词)
• outlook [´autluk] n.眺望；景色；展望 (英语四级单词)
• sluggish [´slʌgiʃ] a.呆滞的；偷懒的 (英语六级单词)
• deficit [´defisit] n.缺乏，赤字，亏空 (英语六级单词)