Oil prices drop on dollar

Oil prices fell more than 2 per cent on Wednesday as the dollar strengthened and as oversupply weighed on markets ahead of a key meeting of OPEC oil producers. Core Gulf members of the Organisation of the Petroleum Exporting Countries, which pumps over a third of the world's oil, have a consensus to maintain the group's oil output at its meeting on Friday, a senior Gulf OPEC source said. The dollar gained around 0.4 per cent against a basket of other currencies .DXY as the euro EUR= slipped, making fuel more expensive to holders of other currencies. Benchmark Brent crude oil for July LCOc1 fell $1.75 to a low of $63.74 before recovering a little to around $63.90, down around 2.5 per cent, by 1010 GMT. US crude CLc1 was $1.40, or 2.25 per cent, at $59.86 a barrel, according to Reuters.