Oil prices firmer in Asian trade

SINGAPORE (AFP) - Oil prices were firmer in Asian trade Friday, supported by fundamentals near 75 dollars after a wild up-and-down ride in US hours Thursday, dealers said.

At 10:40 am (0240 GMT), New York's main oil futures contract, light sweet crude for delivery in September, was 33 cents higher at 75.28 dollars per barrel from 74.95 dollars in late US trades.

The contract jumped above 77 dollars in early US deals, reaching its highest level since last August, then plunged as Wall Street saw one of its heaviest drops this year on housing market and "credit crunch" fears.

Brent North Sea crude for September delivery was 37 cents higher at 75.55 dollars a barrel after trading as high as 77.00 dollars in London.

The 75-dollar range "is more in line with the fundamentals," said Steve Rowles, an analyst with CFC Seymour in Hong Kong.

"At the end of the day, inventories are higher than they were a year ago," Rowles said, adding demand is up and geopolitical tensions have generally eased.

"I think that we should continue to see crude come down a little bit," he said.

Barring major hurricanes in the United States over the coming months, crude could drop to 65 dollars by year's end, he said.