RTTNews - Crude oil fell for a fifth straight session and finished at its lowest level in more than six weeks. General concerns over the economy weighed on energy demand expectations.
Light sweet crude for August ended at $62.93 per barrel, down $1.12 for the day. Prices dropped as low as $62.35 after earlier reaching $64.91.
Oil has been trending sharply lower since July 1 when it last traded above $70 per barrel. The recent decline has taken crude below a support level near $66.
Traders shook off the Energy Information Administration's short-term energy outlook, which forecasts a narrower consumption decline than previously expected. The EIA predicted oil consumption will fall by 1.6 million barrels per day day, compared to the 1.7 million-barrel decline projected in June.
The greenback saw mixed results against major rivals, limiting the hedge value of commodities. The dollar slipped to a five-day low against the euro before recovering most of its daily decline. The buck was slightly higher against the pound and saw nominal weakness against the yen.
Tomorrow morning will bring the EIA's weekly inventory report. Data is expected to show crude supplies dropped 3.2 million barrels. Gasoline stocks are predicted to have climbed 900,000 barrels.
Last week's report showed crude oil inventories decreased by 3.7 million barrels in the week ended June 26. Gasoline inventories increased by 2.3 million barrels.
There were no notable economic reports Tuesday's calendar. On Wednesday, the Mortgage Bankers' Association weekly purchase applications data is expected at 7 a.m. ET and consumer credit data is expected at 3 p.m. ET.
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