U.S. crude shed more than $1 and Brent fell on Wednesday, as a rise in U.S. gasoline inventories signaled weak demand, and a restart of a Libyan oilfield helped ease supply worries.
Gasoline stockpiles rose 579,000 barrels, data from the Energy Information Administration showed on Wednesday, compared with analysts’ expectations in a Reuters poll for a 217,000-barrel drop.
Libya has restarted the 340,000-barrel-per-day (bpd) El Sharara field after protesters ended a four-month strike, which could double the country’s current crude output. The government has also taken back control of the Ras Lanuf and Es Sider oil ports, ending an almost year-long occupation that reduced Libya’s output to less than a quarter of the 1.4 million bpd it was pumping before protests began last summer.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.