Oil eases in Asia above 87 dollars

SINGAPORE, Oct 17, 2007 (AFP) - Oil prices eased slightly in Asia on Wednesday but remained above 87 dollars a barrel in a market worried over a potential Turkish incursion into northern Iraq. New York's main oil futures contract, light sweet crude for delivery in November, was 18 cents lower in early morning trade at 87.43 dollars a barrel.

In US trading on Tuesday, oil struck a record intra-day high of 88.20 dollars before dropping back to settle above 87 dollars for the first time, at 87.

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61 dollars a barrel.

On Monday it jumped more than two dollars.

The price of Brent North Sea crude was not immediately available.

In London trade on Tuesday, Brent for November delivery advanced 1.41 dollars to settle at 84.16 dollars, after earlier hitting an all-time high of 84.49 during the session.

Oil prices surged as investors fixated on Turkey, where the parliament is expected to adopt a government motion on Wednesday to allow cross-border operations against bases of the Kurdistan Workers Party (PKK) in Iraq.

The White House has urged Turkey to refrain from any unilateral action that could further destabilise Iraq, while Iraq's deputy prime minister warned of "grave co