WTI Oil Ends at Lowest in Nearly 3 Months

1453 ET – US crude futures drop more than $3 a barrel, or 4.3%, to finish at $67.12, the lowest closing price since March 17. “Multiple factors have spooked the market, and drilled crude oil lower,” says Mizuho’s Bob Yawger in a note. “The fundamentals are looking weak. The Fed is expected to ‘pause’ its streak of rate hikes, but the market fears post meeting signaling that would imply they are prepared to rev up interest rates hikes again at the July meeting … Another hike would be a demand destruction event, and could tip the economy to recession. The failure of Chinese demand to materialize is also weighing on prices.” Brent crude also falls, ending down 3.9% at $71.84. (dan.molinski@wsj.com)