As the globe's top consumer of the energy commodity, the U.S. is facing a possible credit rating reduction by Moody's investor Service. Drivers of that action include worries fiscal discipline relaxing, additional debt reduction tactics going unfulfilled and a weakening economy.
"We've seen a spate of negative numbers from the U.S. and these large budget cuts may only make it worse," senior analyst Torbjoern Kjus of DnB NOR ASA in Oslo told the news service. "Demand is looking very poor in the U.S. and that's weighing on the market. We haven't really had a driving season this summer, or rather it's been much weaker than last year."
At 8:57 a.m. on Wednesday, crude oil futures slipped 0.88 percent, a $1.02 drop to $115.44 per barrel.
Dow Jones Newswires reports prices for the energy commodity in Asia are nearing their lowest prices in five weeks. Drivers of the reduction include the re-emergence of concerns about the world economy and slackening demand for products powered by petroleum.
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