Oil drops as dour economic outlook adds to oversupply concerns
Oil prices fell on Thursday as central bankers in the U.S., Europe and Asia signalled caution over easing monetary policy, fanning concerns that weak economic activity could dent demand for oil next year.
Brent crude futures fell by 62 cents, or 0.8%, to $72.77 a barrel by 2:12 p.m. EST (1912 GMT).
U.S. West Texas Intermediate crude futures for January delivery fell 70 cents, or 1%, to $69.88 per barrel. The January contract expires on Thursday and more-active WTI futures for February fell 75 cents, or 1.1%, to $69.27 per barrel.
The U.S. Federal Reserve cut rates as expected on Wednesday but Chair Jerome Powell warned that stubborn inflation would make the central bank more cautious about cutting rates next year.
The U.S. dollar rose to a two-year high, making oil more expensive for buyers holding other currencies.
Source: Reuters
