Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

Oil Falls After Crude Inventories

Published 09/06/2018, 11:12 AM
Updated 09/06/2018, 11:12 AM
© Reuters.  Oil was lower on Thursday.

Investing.com - West Texas Intermediate oil was lower in North American trade on Wednesday, as data showed that oil supplies in the U.S. fell more than expected.

Crude oil for May delivery on the New York Mercantile Exchange fell 0.12% to trade at $68.64 a barrel by 11:03 AM ET (15:03 GMT) compared to $68.58 ahead of the report.

The U.S. Energy Information Administration said in its weekly report that crude oil inventories fell by 4.302 million barrels in the week ended Aug. 31. Market analysts' had expected a crude-stock decline of 1.294 million barrels, while the American Petroleum Institute late Wednesday reported a decline of 1.200 million.

Supplies at Cushing, Oklahoma, the key delivery point for Nymex crude, decreased by 549,000 barrels last week, the EIA said.

Total U.S. crude oil inventories stood at 401.5 million barrels as of last week, according to a press release, which the EIA said was “at the five year average for this time of year.”

The report also showed that gasoline inventories increased by 1.845 million barrels, compared to expectations for a decrease of 810,000 barrels, while distillate stockpiles rose by 3.119 million barrels, compared to forecasts for a rise of 742,000.

Meanwhile trade tensions lingered, as investors wait for news of U.S. tariffs on another $200 billion worth of Chinese goods that could go into effect as soon as the public comment period ends at midnight in Washington on Thursday.

Elsewhere, on the ICE Futures Exchange in London, Brent oil fell 0.23% to $77.09 while gasoline futures decreased 0.03% to $1.9590 a gallon, while heating oil lost 0.51% to $2.2230 a gallon.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

The EIA is a joke.  Inventory is one part of Supply/Demand.  If imports rise and inventories rise they cancel.  The Corrupt insiders have taken over the EIA.  They now report domestic production rounded off to the nearest 100,000 b/d.  Meaningless data.  The price is rigged have no doubt about it.
Ah-ha! This answer makes sense! I presumed some fidangling of numbers but I scoffed at a $1 drop in WTI. I will hang out though im almost certain prices will reach 80 before u002719 but Iu0027m only going on a gut feeling.
ok so inventories fall and so does the price? what happened to supply/demand? im confused
Rise in Gasoline and Distillates disappointed WTI
Yes I agree, however, these two are derivatives of the oil.... so in retrospect the surplus would be pressured due to the lack of supply ability, right?
Could be.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.