Crude oil futures ended higher on Tuesday on profit taking after recent strong gains, and data showing a slowdown in global manufacturing activity contributed to the drop in oil prices. A report released by the Institute for Supply Management (ISM) showed U.S. manufacturing activity contracted for the ninth consecutive month in July. The ISM said its manufacturing PMI crept up to 46.4 in July from 46.0 in June, but a reading below 50 continues to indicate contraction. Street had expected the index to inch up to 46.8.
Benchmark crude oil futures for September delivery fell $0.43 or about 0.52 percent to settle at $81.37 a barrel on the New York Mercantile Exchange. Brent crude for October delivery dropped $0. 52 or about 0.6 percent to settle at $84.91 a barrel on London's Intercontinental Exchange.