NYMEX crude falls in early Asia as investors look for demand cues

Investing.com - Crude oil prices dipped in early Asia on Thursday with investors awaiting stronger demand signals across the globe as central banks lean to easier policies.

The Federal Reserve, as expected kept interest rates at its current level following the conclusion of its Federal Open Market Committee meeting on Wednesday, but offered little clear language on the timing of its first rate hike in nearly a decade.

On the New York Mercantile Exchange, WTI crude for June delivery fell 0.21% to $58.46 a barrel.

Overnight, crude futures rose considerably on Wednesday reaching its highest level since December, as a lower than expected buildup last week eased continuing supply concerns.

The Energy Information Administration (EIA) said on Wednesday in its weekly supply report that crude inventories increased by 1.9 million barrels for the week that ended April 24. The buildup was far below consensus estimates of a 3.3 million barrel increase.

The build pushed up current U.S. crude inventories to 490.9 million barrels, the most in at least 80 years. A week earlier, crude inventories surged by 5.3 million barrels for the week that ended April 17 -- above forecasts of a 3.2 million build.

In addition, crude inventories at the Cushing Oil Hub in Oklahoma fell by 514,000 on the week, well below forecasts of a 400,000 gain. The decline marked the first draw at the largest crude storage facility in the U.S. since last November.

While record production over the last year has sent crude storage to near maximum storage capacity nationwide, output has leveled off in recent weeks. U.S. crude futures have remained above $50 throughout the month of April amid expectations that shale field production has peaked.

On the Intercontinental Exchange (ICE), meanwhile, Brent crude for June gained 1.19 or 1.84% to 65.83 a barrel on Wednesday.

Elsewhere, Saudi Arabia announced the arrest of 93 suspects with ties to the Islamic State on Tuesday. The suspects allegedly had plans of targeting the U.S. Embassy, according to the Saudi Interior Ministry. Energy traders are sensitive to geopolitical risky news involving Saudi Arabia, one of the world's largest exporters.

Earlier in the day, data showed gross domestic product expanded at an only 0.2 percent annual rate as harsh weather put off shoppers and energy companies cut spending.