NYMEX-Crude falls toward $79/bbl after 2 pct gain

TOKYO, Nov 4 (Reuters) - U.S. crude futures fell for the first time in three days on Wednesday toward $79 a barrel, paring a 1.9 percent gain a day earlier, after industry data showed a larger than expected build in U.S. gasoline inventories and a surprise build in distillate supplies.

FUNDAMENTALS

* NYMEX crude for December delivery was down 28 cents at $79.32 a barrel by 0050 GMT, after settling up $1.47 at $79.60 on Tuesday.

* The American Petroleum Institute said after the settlement on Tuesday that U.S. gasoline stocks rose by 501,000 barrels and distillate supplies increased by 1.8 million barrels last week, against forecasts for a 300,000 barrel increase in gasoline supplies and a 1 million barrel decline in distillate stocks.

The data also showed U.S. crude stocks fell by 3.3 million barrels, against forecasts for a 1.4 million barrel build in a Reuters poll. [API/S]

* Tuesday's gains came after U.S. factory orders in September expanded at a quicker pace than expected, signalling potential for more fuel demand in the world's biggest energy consumer.

* Traders awaited the weekly oil data by the U.S. Energy Information Administration, out at 1530 GMT. [EIA/S]

MARKETS NEWS

* The S&P 500 and Nasdaq rose slightly on Tuesday as news of a major railroad acquisition helped sentiment, but the Dow edged lower on caution before a Federal Reserve statement on interest rates and the economy. [.N]

* The dollar steadied on Wednesday, having hit a one-month high on a basket of currencies while the euro and growth-linked currencies were subdued, hurt by profit-taking by funds ahead of year-end book closing. [USD/]

DATA/EVENTS

* The following data is expected on Wednesday:

- 0858 GMT--Euro Zone Markit Services PMI/Oct

- 1230 GMT--U.S. Challenger layoffs/Oct

- 1315 GMT--U.S. ADP national (private) employment/Oct

- 1500 GMT--U.S. ISM Non-mfg index/Oct

- 1915 GMT--FOMC meeting result

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PRICES Oil prices as of 0050 GMT Contract Mnth Price Change Day ago pct MA-20* NYMEX Contracts US Crude DEC9 $79.32 -0.28 +$1.47 +1.88% $77.19 Heat Oil DEC9 205.95 -1.38 +2.73 +1.33% 199.52 RBOB DEC9 198.79 -1.25 +1.01 +0.51% 194.21 Natgas DEC9 $4.910 -0.012 +$0.098 +2.03% $4.792 ICE Contracts Brent DEC9 -- +0.00 +$1.56 +2.04% $75.37 Gasoil NOV9 -- +0.00 -$2.00 -0.32% $617.88 Note: U.S. heating oil and RBOB gasoline contracts listed in cents per gallon. * = 20-day moving average for continuation month. (Reporting by Osamu Tsukimori)