Oil Snaps Longest 2011 Rally on IEA Demand Outlook, Euro’s Gain
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Oil fell for the first day in six after the International Energy Agency reduced its demand forecast and the euro surged on European Union plans to help banks. Brent oil’s premium to New York futures increased.
Futures snapped the longest winning streak this year as the IEA cut 2012 demand estimates by 210,000 barrels a day and said Libyan output will rebound to 600,000 barrels a day by year’s end. Brent oil and the euro rose in London on speculation that Europe’s debt problems will be resolved and after the U.S. said Iran was linked to a plot to kill the Saudi Arabian ambassador to the U.S.