Crude Falls - Lower Gas Prices On the Way

Oil dropped to its lowest level in seven weeks as sales of previously owned U.S. homes fell more than forecast in July, boosting speculation that economic growth is slowing and curbing fuel demand. Futures dropped as much as 2.3 percent as U.S. stocks plummeted after the National Association of Realtors reported purchases of existing homes tumbled 27.2 percent to a 3.83 million annual rate. U.S. crude supplies rose last week, according to a Bloomberg News survey. “We’re getting all the classic signals that the economy is slowing down,” said Bill O’Grady, chief market strategist at Confluence Investment Management in St. Louis.

Crude for October delivery fell $1.33, or 1.8 percent, to $71.77 a barrel at 1:42 p.m. on the New York Mercantile Exchange. Earlier, it touched $71.45, the lowest price since July 7. Oil has lost 13 percent since Aug. 3 and has decreased 3.4 percent in the past year. Read more here:

Crude Falls - Lower Gas Prices On the Way