Oil Drops for a Third Day on Signs of Weak Demand, Dollar Gains
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Oil declined for a third day in New York amid speculation a report on new homes may add to signs U.S. fuel demand will remain weak and as investors sold contracts against a strengthening dollar.
Crude fell as the Dollar Index climbed for a second day, damping the appeal of commodities as an alternative investment. Ground was broken on 3 percent fewer houses in September in the U.S., the world’s largest oil user, economists estimated before a Commerce Department report tomorrow. Futures declined even as hedge funds last week raised bets oil prices would gain.