Oil slumped more than 5% to the lowest close this year after government data showed production cuts from OPEC and other producers have not been enough to reduce U.S. supplies.

President Barack Obama will propose a $10-per-barrel tax on oil in his fiscal 2017 budget to finance self-driving cars, public transit, railroads and other transportation improvements, the White House said.

TransCanada Corp.’s request to pause a U.S. review of its Keystone XL oil pipeline gives President Obama a way to ease a political headache at home and help him repair frayed relations with Canada.