Oil Drops as Investors Assess Fed’s Message, Outlook for Dollar
- Chair Powell warns of more tightening to come after rate hike
- WTI slides toward $70 a barrel, heading for quarterly decline
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Oil fell as investors weighed the Federal Reserve policy outlook after another hike and digested a mixed snapshot of US supply and demand.
West Texas Intermediate futures mostly traded between $70 and $71 a barrel on Thursday. Brent and WTI, though down from Wednesday’s close, were near the same levels they were at before Fed Chair Jerome Powell advised that more tightening may be in store after this week’s 25 basis-point increase, and said officials don’t expect to be cutting rates this year. His comments came less than two weeks after the most severe banking crisis since 2008.