Crude oil ends August with first loss in three months

(MarketWatch) -- Crude futures finished lower Tuesday, adding to steep monthly losses, as plentiful inventories and concerns about an economic soft patch prompted investors to shift into gold and bonds.

Oil for October delivery ended down 3.7% at $71.92 a barrel on the New York Mercantile Exchange Tuesday, with declines accelerating toward the close of the session.

Oil also finished the month of August with a loss, down 8.9%, its first monthly decline since May. The month started well, with prices surpassing $82 a barrel, but soon got derailed as key reports showed the bad times were far from over.

Skittish investors then dumped oil, and more so natural gas, to migrate to investments deemed safer.

For Tuesday, prices had recovered some ground during the session as equities turned higher and even briefly traded in the black.

Oil had also cut losses in afternoon trade following the release of the minutes from the U.S. Federal Reserve's most recent policy meeting. The minutes showed that several officials thought the Fed should consider taking additional steps to provide more support if the economy weakens further. (more)