Crude Sinks as Stocks Drop With Treasuries on Fed Outlook

Crude oil slid to a five-month low and stocks fell, with emerging-market shares extending the longest slump in seven years, as an improving U.S. economy fueled speculation the Federal Reserve will reduce stimulus sooner than estimated. The dollar gained against most major peers and Treasury yields rose while industrial metals declined.

Crude in New York dropped 2.2 percent to $93.04 a barrel, the lowest settlement since May 31. The Standard & Poor’s 500 Index, which closed within a point of a record yesterday, slipped 0.2 percent, while the MSCI Emerging Markets Index slid for a ninth day. The dollar approached 100 yen for the first time in two months, rising against 11 of 16 major peers. Yields on 10-year Treasuries climbed as much as four basis points to 2.79 percent. Silver sank 2.9 percent while natural gas surged.