Oil prices remain stable despite surge in COVID-19 cases, higher US crude stockpiles
LONDON (UK) – Oil prices were more or less stable on Wednesday as they recouped from losses sustained earlier in the wake of rising US crude stockpile data and a surge in coronavirus infections in the United States casting doubts over a swift rise in oil demand.
Brent crude futures dropped 1 cent to reach $43.07 a barrel by 0832 GMT. Futures of US West Texas Intermediate (WTI) crude slipped 8 cents to touch $40.54 a barrel.
US crude oil stockpiles witnessed a rise last week despite gasoline and distillate inventories falling more than expected, said figures from the American Petroleum Institute.
“Yesterday’s lull in price action in the oil market is continuing this morning even as sentiment is sullied by renewed US glut fears…the search continues for a catalyst to break oil out of its range,” said PVM analysts.
On Tuesday, the US Energy Information Administration (EIA) said the US crude oil production is slated to slide by 600,000 barrels per day (bpd) in 2020. It is a smaller dip than the predicted 670,000 bpd.
(Photos syndicated via Reuters)
This story has been edited by BH staff and is published from a syndicated field