Investing.com – Crude oil futures extended losses on Wednesday, falling to a four-day low after a government report showed that U.S. crude oil inventories rose unexpectedly last week, underlining concerns over a slowdown in demand from the world’s largest oil consumer.
On the New York Mercantile Exchange, light sweet crude futures for delivery in September traded at USD97.56 a barrel during U.S. morning trade, tumbling 1.9%.
It earlier fell as much as 2.15% to trade at USD97.31 a barrel, the lowest price since July 21.
The contract traded at USD97.98 prior to the release of the Energy Information Administration data.
The U.S. EIA said in its weekly report that U.S. crude oil inventories rose by 2.3 million barrels in the week ended July 22, confounding expectations for a 1.5 million barrel decline.
Crude supplies fell by 3.7 million barrels in the preceding week.
Total U.S. crude oil inventories stood at 354.0 million barrels as of last week, remaining above the upper limit of the average range for this time of year.
Total motor gasoline inventories increased by 1.0 million barrels, outstripping expectations for a 0.4 million barrel increase.
Energy traders have been closely eyeing gasoline stockpiles in recent weeks to gauge the strength of demand as the U.S. driving season was in its peak gasoline demand period.
Meanwhile, negotiations to raise the U.S. debt ceiling remained deadlocked ahead of the August 2 deadline, adding to concerns over a possible sovereign debt default or downgrade.
Global financial service provider Barclays said in a report earlier that U.S. debt woes and concerns over a possible downgrade were “likely to keep the downward pressure on prices intact” in the short-term.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for September delivery fell 0.88% to trade at USD117.33 a barrel, up USD19.77 on its U.S. counterpart.
On the New York Mercantile Exchange, light sweet crude futures for delivery in September traded at USD97.56 a barrel during U.S. morning trade, tumbling 1.9%.
It earlier fell as much as 2.15% to trade at USD97.31 a barrel, the lowest price since July 21.
The contract traded at USD97.98 prior to the release of the Energy Information Administration data.
The U.S. EIA said in its weekly report that U.S. crude oil inventories rose by 2.3 million barrels in the week ended July 22, confounding expectations for a 1.5 million barrel decline.
Crude supplies fell by 3.7 million barrels in the preceding week.
Total U.S. crude oil inventories stood at 354.0 million barrels as of last week, remaining above the upper limit of the average range for this time of year.
Total motor gasoline inventories increased by 1.0 million barrels, outstripping expectations for a 0.4 million barrel increase.
Energy traders have been closely eyeing gasoline stockpiles in recent weeks to gauge the strength of demand as the U.S. driving season was in its peak gasoline demand period.
Meanwhile, negotiations to raise the U.S. debt ceiling remained deadlocked ahead of the August 2 deadline, adding to concerns over a possible sovereign debt default or downgrade.
Global financial service provider Barclays said in a report earlier that U.S. debt woes and concerns over a possible downgrade were “likely to keep the downward pressure on prices intact” in the short-term.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for September delivery fell 0.88% to trade at USD117.33 a barrel, up USD19.77 on its U.S. counterpart.