West Texas Intermediate slid from a three-week high after government data showed crude inventories expanded as production increased to a 28-year peak in the U.S., the world’s biggest oil consumer. Brent was steady in London.
Futures fell as much as 0.5 percent in New York, the first drop in four days. Crude stockpiles rose to a near-record last week as output climbed to the highest rate since 1986, the Energy Information Administration reported yesterday. Russia has no intention of sending troops into Ukraine, which is sliding into a civil war that will preclude holding legitimate elections, according to Foreign Minister Sergei Lavrov.
“Crude inventories are at levels that are historically high,” Jonathan Barratt, the chief investment officer at Ayers Alliance Securities in Sydney, said by phone today. “Anywhere above $102 a barrel is expensive.”