Oil Drops a Third Day in London on Crude Supply Increase

Brent oil dropped for a third day in London on speculation that U.S. supplies may have shrunk less than estimated, while investors awaited the outcome of a Federal Reserve meeting on monetary policy.

Brent futures lost as much as 0.9 percent, and the U.S. benchmark West Texas Intermediate fell 0.7 percent. An industry report yesterday showed U.S. crude stockpiles fell 550,000 barrels. That decline is less than the 1.3 million forecast by analysts before an Energy Department report. The Fed concludes a two-day meeting in Washington today.