Oil Extends Decline as Rally Falters After Hitting 2018 High - Bloomberg

Oil Extends Decline as Rally Falters After Hitting 2018 High - Bloomberg

PRICES

West Texas Intermediate for July delivery fell 0.7% to $68.74 a barrel at 9:56 a.m. London time Brent for August settlement was down 0.7% at $70.99 Oil fell for a second session after a rally that saw prices hit $70 a barrel in New York for the first time since October 2018 faltered. Futures dropped back below $69 a barrel on Tuesday. That mirrored wider markets where the dollar rose and U.S. equity futures pared gains as the recent surge in various assets brought on inflation concerns. Still, in the oil market there’s confidence in the demand outlook with accelerating vaccinations allowing people to travel more. The Middle Eastern Dubai benchmark is trading in its strongest backwardation -- a market structure that indicates supply tightness -- in almost a year.