Crude Oil Slips Lower, Supply Concerns Dominate
Arslan Butt • 1 min read
In Asia oil prices dropped on Thursday due to the EIA statement which showed an unexpected build in US crude oil inventories last week.
US Crude Oil fell by 0.6% to $61.03 earlier today on over supply concerns.
Moreover, crude prices dropped as much as 3% on Wednesday after the US Energy Information Administration showed a surprise crude inventories build, which grew by 4.7 million barrels last week, versus expectations for a drop of nearly 600,000 barrels.
Since the previous week, crude inventories had grown by 5.4 million barrels.
Increasing inventories and a slowdown of refined product demand could suggest we could see more pressure on prices.
Let’s wait for our signal as the market is forming a nice trade setup. Good luck!