Oil Drops From 4-Month High as Seaway Capacity Limited
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Oil dropped the most in a month in New York, widening its discount to Brent as capacity on the Seaway pipeline was reduced and the International Monetary Fund cut its global growth forecasts.
West Texas Intermediate oil tumbled 1.5 percent as capacity of the Seaway line, which runs from Cushing, Oklahoma, to the Gulf Coast, was limited to 175,000 barrels a day at the Jones Creek delivery point. The normal capacity is 400,000. Oil slipped earlier after the IMF lowered its world growth forecast to 3.5 percent from 3.6 percent in October.