Oil rally fizzles as Fed rate hike comments boost dollar

Singapore: Oil prices tumbled in Asia Thursday, cutting short a rally the day before after hints of an interest rate hike in December by the US Federal Reserve boosted the dollar.

Prices rose Wednesday after the US Department of Energy said the country´s commercial crude stockpiles had increased less than expected, suggesting stronger demand in the world´s top oil consuming nation.

But the rebound was punctured after the Fed on Wednesday signalled it could raise rates before the end of the year, expressing optimism for the world´s top economy after "solid" consumer spending and business investment.see full story