Reuters NYMEX-Crude ends down, posts biggest loss in 3 months

* POLL: U.S. crude stocks up, pins down oil futures
* Stalled growth, recession fear hit equities, oil prices
* Hurricane Earl may threaten U.S. East Coast
* Coming up: EIA inventory data, 10:30 a.m. EDT, Wed

NEW YORK, Aug 31 (Reuters) - U.S. crude oil futures fell for a second day on Tuesday, ending August with the worst performance in three months, as traders squared books ahead of weekly inventory data forecast to show a further rise in crude
inventories.

Worries about bearish fundamentals mingled with fears of a slowing pace of economic recovery, even though the day's economic reports showed that consumer confidence rose this month and home prices rose slightly more than expected in July.

Month-end book-squaring and liquidations of September heating oil and gasoline futures, which expired at the close, added pressure to crude oil futures.

U.S. weekly retail gasoline demand fell 3.1 percent in the week ending Aug. 27 as the summer driving season waned, according to the SpendingPulse report from MasterCard Advisors.

The outlook for the U.S. economy would have to deteriorate "appreciably" to spur fresh support from the Federal Reserve, minutes of the central bank's last policy
meeting released on Tuesday said.

U.S. consumer confidence rose more than expected in August, lifted by a mild improvement in the short-term outlook, though a separate report showed business activity in the U.S. Midwest registered a slowdown in August.

MARKETS NEWS

The dollar held losses against the Japanese yen and the euro after the release of the U.S. Federal Reserve's minutes of its most recent policymakers' meeting, on Aug. 10.

Major Wall Street equities indexes ended the month lower. Near the end of the day's trading, equities turned negative, weighed down by technology, energy and industrial shares.

U.S. gold futures rose to a two-month high after data showed improving U.S. consumer confidence and rising prices for U.S. homes.

An expanded Reuters poll showed forecasts for a 1.1 million-barrel increase in U.S. crude stocks last week. Domestic distillate stocks were forecast 1.2 million barrels
higher and gasoline stocks to fall 200,000 barrels. LINK