Oil falls due to oversupply




28/06/2017 01:38 | Number of readings: 92


Trend Press / Agencies




Oil prices fell on Wednesday after a report showed US crude and fuel inventories rose, renewing fears that a three-year-old global supply slump will not end soon.


By 6:50 GMT, Brent crude futures were down six cents, or 0.1 percent, at $ 46.59 a barrel.

US West Texas Intermediate crude futures fell 15 cents, or 0.3 percent, to $ 44.09 a barrel.

Oil prices offset some of its losses in the past week after dropping nearly 20 percent since mid-May.


But the US Petroleum Institute report showed US crude inventories rose 851,000 barrels in the week ending June 23 to 509.5 million barrels, against analysts' expectations of a 2.6 million barrel decline.

Gasoline inventories also increased by 1.4 million barrels, despite the start of the summer season in the United States, where consumption has risen to its peak a few weeks ago.


US stockpiles show global supply remains plentiful, despite efforts by the Organization of the Petroleum Exporting Countries (OPEC) to cut production by 1.8 million bpd between January 2017 and March 2018.

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