Oil prices fall as U.S. supplies rise

CRUDE oil prices fell after U.S. crude stockpiles unexpectedly gained and Hurricane Isaac made landfall, reducing the threat to offshore platforms and rigs in the Gulf of Mexico.Crude oil for October delivery declined $1.40, or 1.5 per cent, to $94.93 a barrel at 10:59 a.m. on the New York Mercantile Exchange. Oil traded at $95.45 a barrel before release of the inventory report at 10:30 a.m. Futures have fallen 3.9 per cent this year.Brent oil for October settlement fell 28 cents to $112.30 a barrel on the London-based ICE Futures Europe exchangeFutures dropped as much as 1.6 per cent after the Energy Department said stockpiles increased 3.78 million barrels to 364.5 million. Supplies were forecast to decrease 1.75 million barrels. Gasoline inventories declined to a three-month low. Isaac struck the coast of southeastern Louisiana, shutting refineries and production facilities.'We moved lower on the inventory gain,' said Marshall Berol.
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