Brent Oil around 109.50 ahead of Fed

Brent futures slipped towards $109 a barrel on Tuesday as the biggest gain in two weeks overnight prompted investors to sell ahead of a key U.S. Fed meet in which the central bank may take a decision on tapering its stimulus.

Investors are awaiting details from the Federal Reserve later this week on when it may start to reduce its $85 billion-a-month bond-buying program, a major driver of investment in global commodities. Yet, a prolonged halt in Libyan exports amid an improving demand outlook may help stem the slide in oil.

Brent crude fell 22 cents to $109.19 a barrel by 0305 GMT, after settling $1.64 higher. U.S. crude also dropped 22 cents to $97.26, after ending 88 cents higher.

CNBC

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