Brent Oil Drops Sharply to $94 as U.S. Dollar Rises

World oil prices tumbled to their lowest in more than two years on Tuesday, with U.S. crude posting its biggest daily decline since 2012 as expiring October gasoline futures tumbled 4.5 percent and the U.S. dollar rose.

New York RBOB gasoline for October delivery, which expires at the end of the day, reversed more than half of its gains from a two-week rally that traders had attributed to a short squeeze on local supplies.

That selloff contributed to a more than $3 slump in U.S. crude and deepened losses in European benchmark Brent, both of which tumbled abruptly at midday. Brent was set for its biggest quarterly fall in two years, down 16 percent.


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