LONDON, May 16, 2012 (AFP) - Oil prices slid on Wednesday, with New York crude hitting the lowest point for more than five months, as the dollar strengthened on eurozone debt strains, analysts said.
New York's main contract, West Texas Intermediate crude for delivery in June tumbled to $91.81 a barrel -- the lowest level since early November.
It later stood at $92.39 a barrel, down $1.59 compared with Tuesday's close.
Brent North Sea crude for June slid $1.11 to $111.13 a barrel in London deals on Wednesday. The contract had hit a near four-month low of $110.04 on Monday.
"An appreciating US dollar, falling equity markets and weak fundamentals are continuing to exert pressure on oil prices," said Commerzbank analyst Eugen Weinberg.
A stronger US currency makes dollar-denominated crude more expensive for buyers using the euro, denting demand for oil.
The euro struck a four-month low point at $1.2681 on Wednesday on news that Greece will go to the polls again after talks to form a coalition failed, stoking fears it will exit the eurozone.
"Oil prices remained under pressure as euro area politics continued to be in focus," Barclays analysts said in a note to clients.
"Speculation that Greece may exit the single currency caused European stocks, peripheral euro area bonds, the euro and commodities to sell off," it added.
Oil prices were also under pressure following a report by industry group American Petroleum Institute that US crude stockpiles could have risen by 6.6 million barrels in the week to May 11.
A jump crude inventory signals faltering demand in the world's largest economy.
The official weekly inventory report by the US Energy Information Administration will be released later Wednesday.
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