Oil drops 4 percent on weaker economic outlook
NEW YORK (AP) — Oil prices are tumbling after Federal Reserve Chairman Ben Bernanke warned that the U.S. economy is weaker than previously thought and the International Energy Agency said it was releasing 60 million barrels of oil to make up for a loss of Libyan exports.
The IEA announcement further evidence that the rebellion in the oil-rich country has tightened global supplies.
Benchmark West Texas Intermediate for August delivery lost $3.86 to $91.55 per barrel on the New York Mercantile Exchange. Brent crude, which is used to price many international varieties, lost $5.16 to $109.05 per barrel on the ICE Futures Exchange.
Meanwhile, retail gasoline prices in the U.S. dropped for the 20th consecutive day to $3.612 per gallon.