http://www.cnbc.com/id/102084062Crude settles down 4.6%, lowest since June 2012
Reuters with CNBC
20 Mins Ago
Crude oil futures settled down 4.6 percent at $81.84, the biggest percentage drop since November 2012 and the lowest settlement since June 28, 2012.
In the minutes before the settle, crude deepened losses to 4 percent in the biggest one-day loss since 2012, falling as low as $81.54.
Brent crude fell more than 3 percent to a fresh low below $86 a barrel on Tuesday, trading at its weakest level since 2010 after the West's energy watchdog cut its estimates for oil demand this year and next.
Losses deepened in mid-afternoon after the U.S. Energy Information Administration projected that fast growing shale basins would increase output by some 106,000 bpd in November from a month earlier.
The unrelenting rise in U.S. shale is colliding with a diminishing outlook for consumption, leading to a glut of crude that has knocked Brent more than 25 percent lower since June.
The International Energy Agency, which advises industrialized countries on energy policy, cut its estimates for global oil demand growth by 250,000 barrels per day for this year and by 90,000 bpd for 2015. It said demand for OPEC oil would be 200,000 bpd lower for both years.
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