Energy stocks took a hit in Asian trade yesterday as oil prices fell towards six-year lows, with warnings of further volatility ahead, but some rare upbeat Chinese trade data boosted Hong Kong and Shanghai.

Crude was dealt another blow yesterday when key OPEC member the United Arab Emirates said the cartel could not stop world prices plunging and called for a cut in US shale oil output.

Manila closed 0.55 percent higher, adding 40.64 points to 7,399.00.

Ayala Land rose 0.44 percent to 34.15 pesos, Manila Electric added 0.46 percent to 263.00 pesos and Philippine Long Distance Telephone gained 0.81 percent to 2,970 pesos.

Tokyo fell 0.64 percent, or 110.02 points, to finish at 17,087.71, although it pared initial losses as the yen weakened in afternoon trade.

Sydney fell 0.33 percent, or 18.01 points, to 5,404.7 and Seoul closed 0.20 percent lower, giving back 3.81 points to 1,917.14.

However, Hong Kong added 0.79 percent, or 189.51 points, to 24,215.97 and Shanghai rose 0.19 percent, or 5.98points, to 3,235.30.

Crude sank again Monday after Wall Street investment titan Goldman Sachs slashed its price outlook for the commodity, adding to anxiety about a global oversupply, weak demand and soft growth in the key Chinese and European markets.

The warning sent US shares tumbling, with the Dow down 0.54 percent, the S&P 500 off 0.81 percent and the Nasdaq tumbling 0.84 percent.

"There is no escaping crude's effect on global markets," Evan Lucas, a markets strategist in Melbourne at IG Ltd., said, according to Bloomberg News. "This will see first-half volatility ramping up throughout the globe."

Prices continued their descent yesterday, after a mauling in the previous session.

Brent crude for February delivery fell $1.93 to $45.50 a barrel -- around its lowest point since April 2009. On Monday it had plunged more than five percent to end below $50.

US benchmark West Texas Intermediate shed $1.55 cents to $44.52 -- its weakest levels since March 2009 -- a day after losing 4.7 percent.

Selling pressure increased when UAE Energy Minister Suhail al-Mazrouei the Gulf Intelligence UAE Energy Forum in Abu Dhabi: "We cannot continue to be protecting a certain price.

"We have seen the oversupply, coming primarily from shale oil, and that needed to be corrected."*AFP

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