Oil drop deepens as dollar gains

LONDON - Oil fell $2 to near $124 a barrel on Monday, as a stronger U.S. dollar and profit-taking put the brakes on a rally that took it to record peaks last week.
U.S. light crude for June delivery fell $1.50 to $124.46 a barrel by 1241 GMT, off lows of $123.86. U.S. crude hit a new record high of $126.27 on Friday on supply concerns and a rush of speculator buying.
London Brent crude fell $1.43 to $123.97.
"The stronger dollar could...lead to some profit-taking in energy," said Edward Meir at MF Global, adding that charts showed much of the oil complex to be heavily overbought and prone to a short-term correction....