Oil at 3-month low on weak U.S. economic outlook

SINGAPORE (Reuters) – Oil fell to a three-month low on Wednesday, as lingering worries of a weak U.S. economy continued to weigh on demand, but conflicts in Nigeria and dispute over Iran’s nuclear plan could counter the bearish effects.

U.S. light crude fell by more than $1.00 to reach $118.10 a barrel, its lowest since May 5, before recovering to $118.63, down 54 cents at 1:47 a.m. EDT.