Bloomberg Crude Oil Falls to 3-Week Low on Skepticism About Bank Rescue

Feb. 10 (Bloomberg) -- Crude oil fell to a three-week low on skepticism that the U.S. government’s bank rescue plan will revive the economy.

Oil dropped as much as 5.6 percent after Treasury Secretary Timothy Geithner said he is “exploring a range of different structures” to bail out lenders. A U.S. government report tomorrow is forecast to show that crude oil stockpiles increased 2.75 million barrels last week, according to the median of 14 analyst estimates in a Bloomberg News survey.

“All the markets are reacting to the Geithner comments with skepticism,” said Michael Fitzpatrick, vice president for energy at MF Global Ltd. in New York. “Stocks dropped and oil followed. Everybody expects tomorrow’s report to show that inventories rose yet again.” more ...