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

Oil Prices Cut Losses After U.S. Crude Stocks Rise Less Than Forecast

Published 03/07/2018, 10:34 AM
Updated 03/07/2018, 10:34 AM
© Reuters.  Oil trims losses after weekly supply data

Investing.com - Crude prices bounced off the worst levels of the session on Wednesday, after data showed that U.S. oil stockpiles rose less than forecast last week.

U.S. West Texas Intermediate (WTI) crude futures lost 47 cents, or 0.7%, to $62.13 a barrel by 10:34AM ET (1534GMT). Prices were at around $61.85 prior to the release of the inventory data.

Meanwhile, London-traded Brent crude futures, the benchmark for oil prices outside the U.S., shed 51 cents, or roughly 0.8%, to $65.32 a barrel.

The U.S. Energy Information Administration said in its weekly report that crude oil inventories increased by 2.4 million barrels in the week ended March 2.

That compared with analysts' expectations for a gain of around 2.7 million barrels, while the American Petroleum Institute late Tuesday reported a supply-increase of 5.7 million barrels.

Supplies at Cushing, Oklahoma, the key delivery point for Nymex crude, declined by 605,000 barrels last week, the EIA said.

Total U.S. crude oil inventories stood at 425.9 million barrels as of last week, which the EIA considered to be in the lower half of the average range for this time of year.

U.S. crude oil production rose by 0.4% from the previous week to a fresh all-time high of 10.36 million barrels per day, keeping it above Saudi Arabia's output levels and within reach of Russia, the world's biggest crude producer.

Analysts and traders have recently warned that booming U.S. shale oil production could potentially derail OPEC's effort to end a supply glut.

The report also showed that gasoline inventories decreased by 788,000 barrels, compared to expectations for a decline of 1.2 million barrels. For distillate inventories including diesel, the EIA reported a drop of 559,000 barrels.

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

Latest comments

oil prices to $100 - att : saudi aramco
Congratulations
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.