Oil Slumps as Traders Brace for Supply Increase, Stronger Dollar - Bloomberg

Oil Slumps as Traders Brace for Supply Increase, Stronger Dollar - Bloomberg:

"Oil fell the most in more than three weeks as traders anticipate another rise in U.S. storage, while a stronger dollar takes the shine off commodities.

Futures in New York declined 1.9 percent on Tuesday as crude stockpiles in the world’s biggest economy are estimated to have climbed for a second week, adding 1.23 million barrels, according to a Bloomberg survey. At the same time, the U.S. currency rose to its highest in more than three months, diminishing the appeal of commodities like oil.

“We are expecting builds this week. You’re still at that standpoint, are we going to start to see demand destruction?” said Tariq Zahir, a commodity fund manager at Tyche Capital Advisors LLC. Today’s trade is representative of “U.S. dollar strength, a little bit of equity weakness, risk-off.”"



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