NYMEX-U.S. oil drops as U.S. govt shutdown clouds demand outlook
PERTH, Oct 2 (Reuters) - U.S. crude prices dropped on Wednesday as a budget impasse continued to keep parts of the U.S. government shut down.
The partial closure of the U.S. government is expected to cut into demand from the world's largest oil consumer with almost 1 million workers out of work, although some investors were hopeful the shutdown would be short-lived.
* NYMEX crude for November delivery had fallen 47 cents to $101.57 a barrel by 0040 GMT.
* Brent crude for November delivery dropped 31 cents to $107.63 a barrel.
* President Barack Obama and congressional Republicans came no closer to ending a standoff on Tuesday that has forced the first government shutdown in 17 years.
* Data from the American Petroleum Institute showed that oil inventories rose by 4.55 million barrels last week, more than expected, and that prices slightly dropped. Stocks at U.S. oil hub Cushing, Oklahoma fell 83,000 barrels, the API said.
* The U.S. Energy Information Administration is expected to show that U.S. commercial crude oil inventories rose by 2.3 million barrels and that gasoline stockpiles fell, according to a preliminary Reuters poll.
* The dollar and U.S. stock futures held steady on Wednesday as investors bet the partial U.S. government shutdown would not last a long time.
* The following data is expected on Tuesday: (Time in GMT)
0900 Euro zone Producer price index
1215 U.S. ADP employment report
1230 European Central Bank interest rate decision
1345 U.S. ISM-New York business activity
1930 Federal Reserve Chairman Bernanke speaks
(Reporting by Rebekah Kebede; Editing by Joseph Radford)