WTI oil price skids under $70 as US dollar firms up

US WTI oil prices fell in early trading on Tuesday pushing prices below $70 mark as continued European debt concerns sent the US dollar higher against the euro.

New York’s main contract, WTI Light crude oil futures for delivery in July, was down 56 cents to $69.65 a barrel on the NYMEX.

“The euro fell not only against the US dollar but also versus other currencies, confirming that its rebound late last week was technical,” said Dariusz Kowalczyk, chief investment strategist at SJS Markets Ltd in Hong Kong.

The euro dropped to 1.2307 dollars in morning trade Tuesday, down from 1.2349 late Monday in New York, where the single currency lost almost two cents. The European unit also declined to 111.00 yen from 111.58. The dollar bought 90.23 yen, little changed from 90.29 Monday.

Yesterday, the euro fell more than 1% against the US dollar, as the bank of Spain’s need to take over a struggling savings banks renewed concerns of continued credit problems in Europe.