Crude oil price drops on demand estimate

Crude oil prices fell close to $85 a barrel on the New York Mercantile Exchange as a key industry group lowered its fourth quarter demand estimate. The International Energy Agency said Wednesday that fourth quarter demand would slow by 290,000 barrels per day to 90.1 million bpd, "reflecting persistent weakness in Europe and the impact of Hurricane Sandy in the United States." At the same time oil production from non-OPEC countries had rebounded by 840,000 barrels per day in October to 53.4 million bpd, IEA said. Oil produced by Organization of Petroleum Exporting Countries declined in the month but only 30,000 barrels per day to 31.5 million bpd, the report said. West Texas Intermediate crude oil in New York lost 25 cents overnight to $85.13 per barrel. Reformulated blendstock gasoline added 1.96 cents to $2.6734 per gallon overnight. Home heating oil prices added 0.57 cents to $2.9665 per gallon. Natural gas prices rose 2.3 cents to $3.762 per million British thermal units. At the pump, the national average price of unleaded gasoline rose to $3.443 per gallon from Tuesday's $3.44, AAA said.