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Oil fell to a 20-month low Wednesday, within striking distance of the psychologically key $50 mark, as top exporter Saudi Arabia saw no reason to worry over the market's 18 percent slide so far this month.

U.S. crude futures tumbled to an intraday low of $50.28 a barrel, the lowest level since May 25, 2005. By 8:15 a.m. ET, the February contract traded 83 cents lower at $50.38.