Oil Drops to Lowest in Eight Months Amid Global Rout on Economy

Oil fell to the lowest in eight months in New York, set for the biggest weekly decline since May, on speculation fuel demand will falter as U.S. economic growth falters and Europe’s debt crisis worsens.

Futures dropped as much as 4.3 percent after slumping 5.8 percent yesterday. The U.S. added 85,000 jobs last month, leaving the 9.2 percent unemployment rate unchanged, according to economists surveyed before data today that will cap a week of economic reports that showed the recovery is slowing. European Brent crude rebounded after an oil pipeline explosion in Iran, highlighting supply concerns from the Middle East.