Oil holds near 2012 low

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By CHRIS KAHN, Associated Press

NEW YORK (AP) — The price of oil is holding near the lowest levels of the year.

Benchmark U.S. crude added 40 cents to $91.06 per barrel in New York while Brent crude rose 60 cents to $107.05 per barrel in London.

Both crude varieties have tumbled this month on forecasts of weaker world demand and higher supplies.

The economies of the two biggest oil consumers — the U.S. and China — appear to be slowing down. And many analysts are betting that the European Union will fall into a recession as it struggles with massive government debts. Meanwhile, some of the world's largest oil producing countries have been exporting more crude this year, boosting supplies.

In the U.S., retail gasoline prices fell by a penny to $3.666 per gallon.

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