U.S. West Texas Intermediate (WTI) crude futures dropped 35 cents, or 0.5%, to $66.85 a barrel at 0153 GMT, after rising $1 on Tuesday.
Brent crude futures fell 32 cents, or 0.5%, to $69.03 a barrel, giving up a few of Tuesday’s 1.1% achieve.
The market “has come under a bit of downward pressure in early morning trading today after a bearish and rather surprising inventory report from the API,” ING Economics analysts stated in a notice referring to weekly figures from the American Petroleum Institute.
U.S. crude stocks rose by 806,000 barrels for the week that ended July 16, in accordance with two market sources, citing American Petroleum Institute figures.
By comparability, 10 analysts polled by Reuters had estimated, on common, that crude stocks fell by about 4.5 million barrels.
Investors are awaiting information from the U.S. Energy Information Administration to see whether or not it confirms there was a rise in crude inventories, which might finish an eight-week streak of stock drawdowns.
“The price moves today and potentially tomorrow will be driven by U.S. oil stocks data, but the biggest thematic will be the OPEC+ deal to add 400,000 barrels per day a month versus whether demand will hold up given what we’re seeing on the Delta variant,” Dhar stated.
A deal by the Organization of the Petroleum Exporting Countries and allies, collectively generally known as OPEC+, to spice up provide by 400,000 bpd every month from August by way of December sparked an oil value unload on Monday, exacerbated by demand fears with circumstances of the Delta variant of the coronavirus selecting up in main markets just like the United States, Britain and Japan.