Oil fell more than 2 percent on Tuesday after Standard & Poor's downgraded the credit ratings of Greece and Portugal, prompting investors to pullcash out of energy markets in a flight from riskier assets. Concern over rising crude stocks creating a glut in the US Midwest also helped push Europe's Brent crude to its highest premium versus US, West Texas Intermediate (WTI) futures since August last year. The euro extended losses versus the dollar following the downgrades. US crude for June delivery fell $1.76 to settle at $82.44 a barrel, while ICE June Brent crude traded down $1.05 at $85.78. Brent earlier traded at as much as $3.51 a barrel higherthan WTI, the biggest premium in more than eight months. Brent's advantage was exacerbated by weakness in June NYMEX crude contract.
