Oil extended losses that began after Monday’s close with the announcement that the US was selling more crude from its strategic reserves, with a higher-than-expected inflation figure adding pressure.
The Strategic Petroleum Reserve will fall to its lowest level in over 40 years as a result of the administration’s decision to move forward with a congressionally mandated sale of 26 million barrels of crude. West Texas Intermediate settled near $79 a barrel, slipping on the day but clawing back from over a 3% drop early in the session after data showed consumer prices rose the most in three months.
