Oil Drops on 30 Year High Supplies

West Texas Intermediate oil dropped after a government report showed inventories of crude, gasoline and diesel increased last week.
Futures slipped after the Energy Information Administration said that stockpiles climbed 18,000 barrels to 394.1 million. Supplies surged to 397.6 million on May 24, the highest level since 1931. The report was projected to show a 1.75 million-barrel decline, according to the median of 12 analyst responses in a Bloomberg survey. Gasoline and diesel inventories added a total of more than 5 million barrels.
WTI crude for August delivery fell $1.45, or 1.5 percent, to $93.87 a barrel at 10:41 a.m. on the New York Mercantile Exchange. The contract traded at $95.10 before the release of the EIA report at 10:30 a.m. in Washington. The volume of all futures traded was 1.5 percent below the 100-day average for this time of day.

via Bloomberg

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza