The crude Brent falls 1.4% up to US$78.26 and the WTI falls 1.2% up to US$73.03.
“There is still a lot of uncertainty in the markets today,” he said. Claudio Galimberti, senior vice president of Rystad Energy in dialogue with Reuters, adding that the Crude production in Russia may not fall as much as expected previously.
The fear that the capping Russian crude prices to cause a supply crisis has subsided. As reported Wednesday by the newspaper vedomostiMoscow is studying options that include ban the sale of oil to some countries to counteract the ceiling imposed by the Western powers.
Prices received some support from hopes of recovery of Chinese demand.
Beijing announced the most radical changes to its regime against COVID-19 on Wednesday since the start of the pandemic, easing rules to slow the spread of the virus, which was hurting the world’s second-biggest economy and sparking protests.
US oil inventories fall
US crude stocks fell in the past week, while those for gasoline and distillates saw big gains as refinery utilization rose to the highest level since 2019, the Energy Information Administration said on Wednesday.
Crude inventories fell 5.2 million barrels in the week to December 2, to 413.9 million barrels, a decline that far exceeded analyst expectations in a Reuters poll of a 3.3 drop. million barrels.
Distillate stocks, which include diesel and heating oil, increased by 6.2 million barrels on the week to 118.8 million barrels, against expectations of growth of 2.2 million barrels, according to EIA data. The big rise came despite the fact that the colder winter months are usually a period of higher demand for the product.
Gasoline inventories rose 5.3 million barrels for the week to 219.1 million barrels, the EIA said, ahead of analyst expectations in a Reuters poll for a build of 2.7 million barrels.
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
