Oil prices are falling ahead of comments from the Federal Reserve and its chairman about U.S. economic growth.
Benchmark crude lost 95 cents at $111.26 Wednesday morning on the New York Mercantile Exchange. In London, Brent crude fell 28 cents to $123.86 a barrel on the ICE Futures exchange.
Fed Chairman Ben Bernanke is expected to discuss the economy and inflation Wednesday after the Fed wraps up a two-day meeting.
Oil traders will be listening for clues about whether the Fed plans to raise interest rates. A change in policy would bring the Fed in line with other central banks that are raising interest rates to fight inflation, although most investors expect the Fed will keep rates near zero.
Also on Wednesday, the Energy Department releases U.S. petroleum inventories.