Home / Market News / Oil futures finish lower on rise in U.S. crude supplies and weak energy demand

Oil futures finish lower on rise in U.S. crude supplies and weak energy demand

Oil futures finished lower Wednesday, pressured after the Energy Information Administration reported a 4.3 million-barrel increase in last week’s U.S. crude supplies, marking the first weekly rise in three weeks. Meanwhile, rising cases of COVID-19 continued to raise concerns over weak energy demand. Oil demand is “awful” right now, with rising cases of COVID-19 globally and the world awaiting the results of the U.S. presidential election, said James Hatzigiannis, chief market strategist at Ploutus Capital Advisors. Declines in energy output in the Gulf of Mexico, as Hurricane Zeta headed for landfall at the Gulf Coast, failed to provide support for oil prices. On Wednesday, 66.6% of Gulf oil production and 44.5% of natural-gas production in the region was shut in, according to the Bureau of Safety and Environmental Enforcement. December West Texas Intermediate crude fell $2.18, or 5.5%, to settle at $37.39 a barrel on the New York Mercantile Exchange. That was the lowest front-month contract finish since Oct. 2, according to FactSet data.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.

Read Full Story