US Oil Drops Below $100

American Oil fell for a second session as rising US inflation stoked fears that it would compel policy changes that could push the US into recession.

For the first time since late April, West Texas Intermediate (WTI) slid 3.2 percent to settle below $100 a barrel, according to daily price monitoring released by the U.S. Energy Information Administration (EIA).

Oil fell to its lowest level since March due to a broader market sell-off on Monday.

Even though oil prices have fallen, retail gasoline and diesel prices in the United States have risen to a new high just ahead of the summer driving season.

According to an EIA monthly study, US crude output growth looks to be slowing. 

The slow growth prompted EIA to lower its forecast for domestic oil production this year to 11.9 million barrels per day, down from a prior estimate of 12.01 million.

© Fourth Estate® — All Rights Reserved.
This material may not be published, broadcast, rewritten or redistributed.