WTI Oil Drops for a Fourth Day as U.S. Crude Inventories Advance
West Texas Intermediate fell for a fourth day after industry data showed crude stockpiles rose for a ninth week in the U.S., the world’s biggest oil consumer.
Futures slid as much as 0.3 percent in New York. Crude inventories increased by 6.92 million barrels last week, the American Petroleum Institute said yesterday. An Energy Information Administration report today is projected to show supplies climbed by 750,000 barrels, according to a Bloomberg News survey. The Organization of Petroleum Exporting Countries will keep its production quota unchanged at a meeting next week in Vienna, a separate survey shows.
“The key for the market will be those numbers” from the EIA, said David Lennox, a resource analyst at Fat Prophets in Sydney who predicts OPEC will keep its output target unchanged at the Dec. 4 gathering. “New supply in the U.S. is causing a build-up of inventories.”
WTI for January delivery dropped as much as 32 cents to $93.36 a barrel in electronic trading on the New York Mercantile Exchange, and was at $93.39 at 3:45 p.m. Singapore time. The contract lost 0.4 percent to $93.68 yesterday. The volume of all futures traded was more than double the 100-day average.
Brent for January settlement gained 2 cents to $110.90 a barrel on the London-based ICE Futures Europe exchange. The European benchmark crude was at a premium of $17.51 to WTI. The spread was $17.20 yesterday, the widest in more than eight months based on closing prices.
Futures slid as much as 0.3 percent in New York. Crude inventories increased by 6.92 million barrels last week, the American Petroleum Institute said yesterday. An Energy Information Administration report today is projected to show supplies climbed by 750,000 barrels, according to a Bloomberg News survey. The Organization of Petroleum Exporting Countries will keep its production quota unchanged at a meeting next week in Vienna, a separate survey shows.
“The key for the market will be those numbers” from the EIA, said David Lennox, a resource analyst at Fat Prophets in Sydney who predicts OPEC will keep its output target unchanged at the Dec. 4 gathering. “New supply in the U.S. is causing a build-up of inventories.”
WTI for January delivery dropped as much as 32 cents to $93.36 a barrel in electronic trading on the New York Mercantile Exchange, and was at $93.39 at 3:45 p.m. Singapore time. The contract lost 0.4 percent to $93.68 yesterday. The volume of all futures traded was more than double the 100-day average.
Brent for January settlement gained 2 cents to $110.90 a barrel on the London-based ICE Futures Europe exchange. The European benchmark crude was at a premium of $17.51 to WTI. The spread was $17.20 yesterday, the widest in more than eight months based on closing prices.
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