Brent Oil Slips Below $109 Ahead of Fed Decision

Brent oil fell by more than $1 on Tuesday and U.S. oil reversed an early rise, pressured by the specter of the U.S. Federal Reserve tapering its monetary stimulus program.

Brent futures for January lost nearly $1 to dip under $109, after settling $1.64 higher on Monday, its biggest daily gain in two weeks. U.S. crude futures gave up early gains, falling 26 cents to settle at $97.22, after a new round of data fanned the flames of Fed speculation.

The Fed’s policy-making Federal Open Market Committee is meeting on Tuesday and Wednesday during which officials could decide to trim the Fed’s $85 billion asset purchasing program, should they interpret recent strong U.S. economic data to mean the economy is recovering.

CNBC

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.