Crude Oil Drops in New York on Stagnant U.S. Employment Picture

Crude oil fell the most in two weeks, trimming a second weekly gain, after employment in the U.S. unexpectedly stagnated in August, bolstering concern that fuel demand will drop.

Futures dropped 2.8 percent after Labor Department data showed payrolls were unchanged last month, the weakest reading since September 2010. The median forecast in a Bloomberg News survey called for a gain of 65,000. Tropical Storm Lee formed today in the Gulf of Mexico, prompting companies to shut 48 percent of the area’s crude output.