NY oil prices fall for second day on Lebanon truce hopes

New York oil prices continued to fall for a second day as geopolitical concerns in the Middle East eased further.

West Texas Intermediate crude for December delivery, which was near-month, retreated to a seven-week low on the New York Mercantile Exchange, closing at $67.21 a barrel, down $0.17 and 0.25% from the previous session.

Brent crude oil for December delivery, which is subject to international market comparisons, closed at $71.12 a barrel, down $0.30 and 0.42% from the previous session, the lowest since the 11th of last month.

This is attributed to news in the market that Israeli Prime Minister Benjamin Netanyahu is seeking a diplomatic solution in Lebanon, which is at war with pro-Iranian militant Hezbollah.

Goldman Sachs said oil prices had fallen too low given the underlying conditions in the market and expected Brent crude prices to recover to $77 a barrel in the fourth quarter, even without disruptions to oil supply in the Middle East.