Oil prices fell this morning for the second consecutive day towards $86 as China’s crude imports dipped.

US crude for December dropped 28¢ to stand at $86.44 a barrel by 04.44 GMT, while London ICE Brent crude fell by 31¢ to $88.02, reports Reuters.

China’s crude imports declined by 30% last month to 3.86 million barrels per day from 5.67 million per day recorded in September.

The American Petroleum Institute said US crude stockpiles dropped by 7.4 million barrels.

US crude stockpiles of distillates, including heating oil and diesel, dipped by four million barrels in the week to 5 November while petrol dropped 3.4 million barrels.

The International Energy Agency said in its 2010 World Energy Outlook that global oil supplies will reach a peak by 2035 with prices topping $200 a barrel.