Oil Declines Again as Demand Outlook Flashes Bearish Signs
- American gasoline demand forecast at 20-year low next year
- WTI trades below $77 a barrel after plunging 4.3% on Tuesday
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Oil fell further after closing at a three-month low as a forecast drop in US gasoline consumption added to a growing array of indicators suggesting the demand outlook is worsening.
West Texas Intermediate was below $77 a barrel after declining 4.3% on Tuesday. American gasoline demand will drop to a 20-year low next year on a per-capita basis, according to a US government report, with prices at the pump and inflation likely causing a reduction in discretionary driving. Global equities were also down with investors on edge ahead of more comments from the US Federal Reserve.