July 30, 2010 –   * Oil prices decouple from equities

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* Coming Up: U.S. Q2 GDP; 1230 GMT

(Previous SINGAPORE, updates prices)

By Alex Lawler

CAPE TOWN, July 30 (Reuters) - Oil slipped on Friday, heading for a fourth consecutive weekly settlement within the $75-$80 range, as investors focused on a slowing economy and rising inventories in top consumer the United States.

European stocks made early losses and Asian equities declined ahead of data expected to show U.S. economic growth slowed to 2.5 percent in the second quarter from 2.7 percent in the first quarter.

U.S. September crude shed 55 cents to $77.81 a barrel at 0905 GMT. ICE Brent fell 50 cents to $77.09.

"The market is going to be particularly sensitive to the GDP data because the U.S. economy still has big influence on oil demand," said Mark Pervan, a senior commodities analyst at ANZ in Melbourne.

U.S. crude on Thursday climbed almost 1.8 percent, the first gain of the week despite falling equities, boosted by a weaker dollar, which makes dollar-denominated commodities cheaper for other currency holders.

But reports showing soaring crude stockpiles in the U.S. had forced prices towards the bottom of the recent price range earlier in the week by signalling weak demand.

The slowdown in the U.S. economic recovery was also flagged by a stream of weak economic data in the past couple of months, and a softer report on Friday could revive fears among investors of a double-dip recession.

U.S. crude inventories jumped the most in almost two years last week, by more than 7 million barrels, the Energy Information Administration said in a weekly inventory report on Wednesday.

Oil has traded in a range between $70 and $80 for almost two months. Prices are unlikely to move above $80 a barrel unless inventories fall, Pervan said.

Industrial output in Japan, the world's third-largest oil user, unexpectedly fell in June and manufacturers expect further declines in coming months, boding ill for the fragile economic recovery.

Members of the Organization of the Petroleum Exporting Countries have said they prefer oil to remain around $70 to $80 a barrel, a level they say encourages investment to sustain and increase production capacity and does not put the global economic recovery at risk.

With prices staying within that range, OPEC production has been climbing steadily and has risen further in July, a Reuters survey showed on Thursday. (Additional reporting by Alejandro Barbajosa; editing by James Jukwey)