The emboldened U.S. dollar pulled down West Texas Intermediate crude oil futures on Friday, as the world's reserve currency pushed to its top level in more than 14 days, according to Bloomberg.
Production by all 12 member nations of the Organization of the Petroleum Exporting Counties increased in April, according to the group's headquarters in the Austrian capital. But OPEC minimally changed its demand forecast.
"Commodities are taking a hit because the dollar is ripping," futures division director Bob Yawger with Mizuho Securities USA Inc. in New York told the news source on Friday. "The Dollar Index crossed 83, which is hurting all these markets."
At 10:20 a.m. on Friday, Brent crude oil futures dropped 2.42 percent, a $2.53 loss to $101.94 per barrel. At 10:24 a.m., WTI crude oil futures fell 2.66 percent, a $2.56 dive to $93.83 per barrel.
Reuters reports losses for the energy commodity also are correlated with strong and seemingly growing inventories and concerns about the outlook of China, host of the globe's second-largest economy and the world's second-largest consumer of crude oil.
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