Greek default

Oil fell in New York, after closing last week at a one-year low, on concern that Greece will default on debt payments, leading to slower economic growth and fuel consumption.
Futures slipped as much as 2.3 percent after dropping 17 percent since the end of June in the worst quarter since 2008. Reports this week may show manufacturing in the U.S., the world’s biggest oil consumer, barely grew last month, while job growth failed to cut unemployment. European finance ministers meet today in Luxembourg to weigh the threat of a Greek default.
Saudi Arabian Oil Co. canceled a crude shipment to Royal Dutch Shell Plc after a fire at Shell’s largest oil refinery.

A Greek default is becoming more and more likely amid reports the country will miss debt-reduction targets,” said JPC, a strategist at WorldWatch who forecasts Brent will average $98 a barrel in the fourth quarter. “The weaker euro and falling equity market are pulling oil prices lower.”
Crude for November delivery fell as much as $1.84 to $77.36 a barrel inelectronic trading on the New York Mercantile Exchange and was at $78.22 at 12:35 p.m. London time. The contract fell 3.6 percent to $79.20 on Sept. 30, the lowest close since Sept. 29, 2010. Last quarter’s decline was the biggest since the three months ended Dec. 31, 2008.