Oil slipped on concern that an escalating trade dispute between the U.S. and China will dampen global growth at a time when American crude inventories are growing.
Futures slid 0.5 percent to trade below $67 a barrel in New York, after a decline of 0.8 percent on Monday. The U.S. is said to prepare another round of tariffs on all remaining Chinese imports if talks between the presidents of the two countries fail to ease trade friction. Meanwhile, American crude stockpilesare forecast to have risen for a sixth straight week.
West Texas Intermediate for December delivery fell 37 cents to $66.67 on the New York Mercantile Exchange at 10:01 a.m. in London. The contract dropped 55 cents to $67.04 on Monday. Total volume traded was 16 percent below the 100-day average.
Brent for December settlement, which expires Wednesday, traded at $76.85 a barrel on the London-based ICE Futures Europe exchange, down 49 cents. The contract lost 0.4 percent to $77.34 on Monday. The global benchmark crude traded at a $10.21 premium to WTI.
Source : Bloomberg