Oil prices have fallen to 16-month lows on growing signs that a global economic slowdown is reducing demand. The declines came as official US data showed that US crude stocks rose by 3.2 million barrels in the week to October, higher than expectations.

Highlighting a fall in sales of petrol and other refined fuels, US light crude fell as low as $66.73 a barrel, its lowest pointOil producers group Opec is due to cut output on to help lift prices.

US light crude finished the day's trading down $5.43 to $66.75. Brent crude fell $5.20 to $64.52 a barrel, after earlier touching $64.59, also a 16-month low.

Steadily fallen Despite Opec's expected reduction in production, oil analysts said crude prices could fall as low at $60 as signs that the world is heading for recession continue to grow. Opec's meeting as been brought forward by three weeks, reflecting the 12-nation group's concern at falling prices. Oil hit an all-time high of $147 a barrel back in July, but has since fallen back steadily. Opec members include Saudi Arabia, Iran, Iraq and Venezuela.

Russia may divert oil to affect price
One of the world's largest oil producing countries is considering storing crude to gain more influence over global prices.

MOSCOW (AP) -- Russia's top energy official said Wednesday that the nation may set aside an oil reserve to influence global prices - but won't cut output, news reports said.

Deputy Prime Minister Igor Sechin, who is in charge of the energy sector, said the government was considering creating an oil production reserve "which would allow it to work more efficiently with prices on the market."