Oil continues to fall

Oil extended losses after minutes from the Fed’s meeting showed officials were concerned about inflation and some members were prepared to tighten monetary policy if inflation risks rose. Oil extended losses after closing at a three-month low on Wednesday on signs the Fed could keep interest rates high for longer, weighing on energy demand. Brent fell to $81 a barrel for a fourth session and U.S. crude approached $77. The Fed minutes from a meeting earlier this month showed officials taking a hawkish stance. That adds another bearish element to an oil market that has been showing signs of weakness ahead of the OPEC+ meeting. Oil is still higher this year, in part because of supply cuts by the producer group, but prices have fallen since mid-April. U.S. crude inventories rose last week, while inventories at a storage hub in Cushing, Oklahoma, rose to their highest level since July, according to government data. “Oil is generally down. The biggest focus is still on whether the voluntary output cuts will be extended at the OPEC+ meeting,” said Gao Mingyu, energy analyst at Beijing-based SDIC Essence Futures. The cartel is scheduled to meet on June 1 and the group is widely expected to extend existing output cuts. Alliance member Russia exceeded its production commitment in April and vowed to make up for the extra supply, the country’s Energy Ministry said on Thursday.