Futures for the West Texas Intermediate (WTI) crude fell sharply on Thursday, declining for the second time in three days after reports showed that fuel supplies rose in the US, the world’s largest oil consumer.
Prices for the North American West Texas Intermediate (WTI) crude for October delivery fell 0.73% to trade at $94.85 a barrel on the New York Mercantile Exchange. The contract rose 2.9% to $95.54 on Wednesday, the biggest gain since August 2013.
Futures for the European benchmark Brent crude for October settlement slid 0.7% to $102.03 a barrel on the ICE Futures Europe exchange based in London.
Crude Inventories
A report from API showed the crude inventories in the US declined by 500,000 barrels in the week ending August 19. The report also showed that gasoline and distillate inventories each increased by 400,000 barrels last week.
However, a separate report is expected to be released later in the day from the energy Information Administration (EIA) with forecasts of a drop in supplies by 1 million.
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Ukraine
Yesterday, Russia’s President Vladimir Putin and his Ukraine counterpart Petro Poroshenko began talks on how to work on a ceasefire agreement and end the deadly crises which has killed almost 2,600 people, according to the United Nations.
Meanwhile, the US President Barack Obama and leaders of the North Atlantic Treaty Organization (NATO) are heading to the U.K for an annual meeting.
In Libya, the group that controls the nation’s biggest oil port said they will work with the government to keep the crude production flowing. Libya is a member of the Organization of Petroleum Exporting countries.
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