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Oil price drops below $90

Oil prices have dived below $90 a barrel amid fears the ongoing financial markets crisis will further hit demand.

Light, sweet crude hit an eight-month low of $89.07 a barrel in Asian trading and is now about 40% below its record peak of $147, which it reached in July.

Oil demand in the world's largest consuming nations has already begun to fall as major economies slow down in response to the credit crisis.

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