NEW YORK: Oil slid for a second day in choppy trade yesterday, with Brent heading for its biggest two-day drop in a year as the US dollar rallied and traders feared slower oil demand in China and diminished investor demand in the United States.
While US equity markets stabilised after two days of sharp losses following Federal Reserve Chairman Ben Bernanke’s signals on paring back monetary stimulus, crude prices added to losses. US futures fell through 50- and 100-day moving averages, while Brent took two-day losses to more than 5 percent.
After earlier falling by more than $2 a barrel, Brent pared its losses by 1733 GMT to trade down $1.41 at $100.74 a barrel. The spread between Brent and US crude narrowed to $7.05. Front-month US crude, or West Texas Intermediate, lost $1.39 to trade at $93.77 a barrel, while second month WTI traded down $1.46 to $93.69. Reuters
