LONDON—Oil prices erased early gains to head lower on Thursday, a day after a fall triggered by a U.S. interest rate hike, though tight supply limited losses.
Brent crude futures were down 45 cents, or 0.4 percent, to $118.06 a barrel by 0906 GMT while U.S. West Texas Intermediate (WTI) crude futures fell 44 cents to $114.87, also off 0.4 percent.
Both contracts broadly stayed within the previous session’s range.
Prices slipped more than 2 percent overnight after the Federal Reserve raised its key interest rate by 0.75 percent, the biggest hike since 1994.
The dollar index retreated from a 20-year high, easing downward pressure on oil prices. A stronger greenback makes U.S. dollar-priced oil more expensive for holders of other currencies, curtailing demand….