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Crude Oil Falls From Two-Year High Amid China Rate Speculation

Oil dropped from a two-year high in New York after China’s stock-index futures fell amid speculation the government may tighten monetary policy further in the world’s biggest energy user.

The January contract declined as much as 42 cents, or 0.5 percent, to $87.58 a barrel, in electronic trading on the New York Mercantile Exchange, and was at $87.59 at 12:38 p.m. Sydney time. Yesterday, it added $1.25 to $88, the highest settlement since Oct. 8, 2008.

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