Initially, Wall Street's worries over oil grew as the International Energy Agency raised its forecast for world demand, and as price speculation increased after the Russian government ordered the sale of part of Yukos, that nation's top producer, to pay back taxes. While that pushed oil prices to a new intraday high of $54.45 in early trading, prices later fell sharply — a total of $1.94 from their highs — in what analysts suggested was a price correction.

A barrel of light crude settled at $52.51, down $1.13, on the New York Mercantile Exchange.

According to preliminary calculations, the Dow Jones industrial average fell 4.79, or 0.05 percent, to 10,077.18. Broader stock indicators were narrowly lower. The Standard & Poor's 500 index was down 2.55, or 0.23 percent, at 1,121.84, and the Nasdaq composite index dropped 3.59, or 0.19 percent, to 1,925.17.

After five straight days of record-high closing prices for oil futures, the dip in oil prices was a relief on Wall Street. With third-quarter earnings already depressed because of the summer's high fuel costs, the winter heating oil season could bring even more price pressure.