Oil continues to fall as Fed mulls tapering, OPEC+ turns on taps

Oil’s rally in the first half of the year has lost momentum since July amid the threat to demand posed by the spread of the highly contagious Delta variant of the coronavirus.

Oil fell for the sixth day in a row to the lowest level since May after the U.S. Federal Reserve on Wednesday signaled it was set to start tapering asset purchases within months. West Texas Intermediate futures ended the session down 2.7%, dipping below $64 a barrel amid a broader commodity selloff as the prospect of reduced stimulus shook markets. The delta virus variant for air travel is denting demand, with enthusiasm for air travel waning in the both the U.S. and Japan.