Oil Drops From Two-Month High as House Delays Budget Vote

Oil fell from the highest level in two months, paring a weekly gain, on concern U.S. lawmakers will fail to avert spending cuts and tax increases that threaten the economy of the worlds biggest crude consumer.

Futures slipped as much as 0.8 percent after House Republican leaders canceled a vote on Speaker John Boehners budget plan and the chamber said no more votes will be held until after the Christmas holiday. Fewer than two weeks remain to avert budget measures known as the fiscal cliff that start in January. Oil...