Investing.com - Crude oil futures trimmed gains on Wednesday, after a report from the U.S. government showed that oil supplies rose unexpectedly last week.
Prices were higher earlier in the day after stronger-than-expected U.S. economic growth and employment data fuelled hopes the U.S. economic recovery was strengthening.
Investors now looked ahead to the release of the Federal Reserve's highly anticipated policy statement later in the session.
On the New York Mercantile Exchange, light sweet crude futures for delivery in September traded at USD103.23 a barrel during U.S. morning trade, up 0.15%.
Nymex oil prices traded at USD103.50 a barrel prior to the release of the supply data.
The September contract settled down 1.4% at USD103.08 a barrel on Tuesday.
The U.S. Energy Information Administration said in its weekly report that U.S. crude oil inventories rose by 0.4 million barrels in the week ended July 26, disappointing expectations for a decline of 2.3 million barrels.
Total U.S. crude oil inventories stood at 364.6 million barrels as of last week.
The report also showed that total motor gasoline inventories increased by 0.8 million barrels, confounding expectations for a decline of 0.8 million barrels.
Prices were higher earlier after the Bureau of Economic Analysis said that U.S. gross domestic product grew at a seasonally adjusted annual rate of 1.7% in the three months to June, beating expectations for growth of 1%.
The report showed personal consumption grew 1.8% in the second quarter, above expectations for 1.6%. Consumer spending typically accounts for nearly 70% of U.S. economic growth.
Separately, payroll processing firm ADP said non-farm private employment rose by a seasonally adjusted 200,000 in July, above expectations for an increase of 180,000.
Data also showed that the Chicago purchasing managers' index rose less-than-expected in July, advancing to 52.3 from 51.6 the previous month. Analysts had expected the index to rise to 54.0 this month.
Market participants now looked ahead to the Fed's upcoming policy statement due later in the day on hopes the central bank could offer more clues on when it could slow the pace of its monthly bond purchases.
The Fed’s stimulus program is viewed by many investors as a key driver in boosting the price of commodities as it tends to depress the value of the dollar.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for September delivery fell 0.9% to trade at USD105.97 a barrel, with the spread between the Brent and crude contracts standing at USD2.74 a barrel.
Prices were higher earlier in the day after stronger-than-expected U.S. economic growth and employment data fuelled hopes the U.S. economic recovery was strengthening.
Investors now looked ahead to the release of the Federal Reserve's highly anticipated policy statement later in the session.
On the New York Mercantile Exchange, light sweet crude futures for delivery in September traded at USD103.23 a barrel during U.S. morning trade, up 0.15%.
Nymex oil prices traded at USD103.50 a barrel prior to the release of the supply data.
The September contract settled down 1.4% at USD103.08 a barrel on Tuesday.
The U.S. Energy Information Administration said in its weekly report that U.S. crude oil inventories rose by 0.4 million barrels in the week ended July 26, disappointing expectations for a decline of 2.3 million barrels.
Total U.S. crude oil inventories stood at 364.6 million barrels as of last week.
The report also showed that total motor gasoline inventories increased by 0.8 million barrels, confounding expectations for a decline of 0.8 million barrels.
Prices were higher earlier after the Bureau of Economic Analysis said that U.S. gross domestic product grew at a seasonally adjusted annual rate of 1.7% in the three months to June, beating expectations for growth of 1%.
The report showed personal consumption grew 1.8% in the second quarter, above expectations for 1.6%. Consumer spending typically accounts for nearly 70% of U.S. economic growth.
Separately, payroll processing firm ADP said non-farm private employment rose by a seasonally adjusted 200,000 in July, above expectations for an increase of 180,000.
Data also showed that the Chicago purchasing managers' index rose less-than-expected in July, advancing to 52.3 from 51.6 the previous month. Analysts had expected the index to rise to 54.0 this month.
Market participants now looked ahead to the Fed's upcoming policy statement due later in the day on hopes the central bank could offer more clues on when it could slow the pace of its monthly bond purchases.
The Fed’s stimulus program is viewed by many investors as a key driver in boosting the price of commodities as it tends to depress the value of the dollar.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for September delivery fell 0.9% to trade at USD105.97 a barrel, with the spread between the Brent and crude contracts standing at USD2.74 a barrel.