Crude oil prices drifted lower on Thursday, continued to be weighed down by data showing an increase in U.S. crude inventories last week.
The dollar’s recovery and uncertainty about the outlook for energy demand due to concerns about a global recession hurt as well.
The dollar, which exhibited weakness in the Asian session, climbed to 101.91 around mid morning, before easing to 101.76, still holding well above the flat line, gaining about 0.55%.
West Texas Intermediate Crude oil futures for March ended lower by $0.53 or about 0.7% at $75.88 a barrel.
Brent crude futures were down $0.72 or 0.88% at $82.12 a barrel a little while ago.
Data from Energy Information Administration (EIA) showed on Wednesday that crude inventories in the U.S. rose by 4.1 million barrels last week, rising for a sixth straight week. Analysts had expected inventories to rise just 0.4 million barrels last week.
Gasoline inventories increased by 2.6 million barrels and distillate stockpiles rose by 2.3 million barrels in the week suggesting weak demand.
Investors were also disappointed by the OPEC+ decision to keep their output policy unchanged, although the decision came along expected lines.
The material has been provided by InstaForex Company – www.instaforex.com
- *Brazil Dec Retail Sales Up 0.4% Y/Y Vs. 1.4% In November - February 9, 2023
- *Mexico Jan CPI Rises 0.68% M/M Vs. 0.38% In December - February 9, 2023
- *Brazil Dec Retail Sales Down 2.6% M/M Vs. -0.9% In November - February 9, 2023