Oil falls with the continued growth of US inventories

24/02/2017 01:48 | Number of Views: 153

Direction Press / Agencies

Oil prices fell on Friday after US crude stocks rose for the seventh week which indicates that the market is still having difficulty in reducing the oversupply, despite the efforts of a lot of producers to curb production.

The US Energy Information Administration said crude stocks in the United States rose by 564 thousand barrels in the week ending on February 17, but the increase came in below analysts who had expected to grow by 3.5 million barrels estimates.

The continued US growth stocks at a time when members of the Organization of Petroleum Exporting Countries cut [OPEC] and other producers outside the Organization of crude production.

Sources from OPEC, citing the results of a technical committee meeting this week that the common commitment to reduce production agreement, which was reached late last year, the level was about 86 percent in January.

The United States, which does not participate in the agreement to increase production. Analysts said they expect the ING continued US production growth with price remains at a strong enough level to encourage increased drilling activities.

And decreased global London Brent crude 48 cents to $ 56.10 a barrel by 0908 GMT, while the decline in US crude West Texas Intermediate 39 cents to $ 54.06 a barrel