Oil dropped as euro-area finance ministers meet to negotiate a bailout payment for Greece and as American leaders prepared to wrestle with a budget agreement.
“The outcome of the European finance ministers’ meeting is the main focus of the markets today,” said Addison Armstrong, director of market research at Tradition Energy in Stamford, Connecticut. “Given the direction the market is moving, it appears most people aren’t expecting a positive outcome.”
Crude oil for January delivery declined 78 cents, or 0.9 percent, to $87.50 a barrel at 9:37 a.m. on the New York Mercantile Exchange. Prices are down 11 percent this year.