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Oil Falls After Crude Inventories

Published 06/09/2018, 16:12
Updated 06/09/2018, 16:19
© Reuters.  Oil was lower on Thursday.
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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.

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