Oil Trades Near Four-Month High Before Federal Reserve Statement

Oil traded near the highest level in more than four months before a Federal Reserve policy statement that may signal the U.S. central bank will take additional steps to stimulate the economy of the world’s biggest crude user.

West Texas Intermediate rose as much as 0.7 percent to the highest since Sept. 17, and pared gains after the U.S. economy contracted in the fourth quarter. Crude is poised for a third monthly gain, the longest run since April 2011. The Federal Open Market Committee will renew its commitment to purchasing assets during a two-day meeting, according to a Bloomberg News survey. Economic confidence in the euro area rose more than economists forecast in January.