© Reuters. The oil is lower, in view of the inventories
Investing.com – The price of oil fell slightly Wednesday, with investors turning to new weekly data on stocks of crude trading in the u.s. to evaluate the effect of the demand of the largest oil consumer in the world and the speed at which production levels will continue to increase.
The Energy Information Administration will publish its weekly official oil supplies for the week ending June 8, at 10: 30 EST (1430GMT), while the forecasts indicate a decline in oil stocks of 1.4 million barrels.
Analysts also expect a gain of 443 000 barrels in gasoline stocks, while distillate inventories are expected to increase to 200,000 barrels.
The data will also provide new indications on the speed at which the levels of domestic production will continue to increase. The production of crude oil in the United States – boosted by the extraction of the shale – has currently reached a record high of 10.8 million barrels per day (bpd).
After the market close Tuesday, the American Petroleum Institute said that oil stocks in the us were increased by 833 000 barrels last week.
The IPY data have also shown an increase of nearly 2.3 million barrels in gasoline stocks, while distillate stocks rose 2.1 million barrels.
There are often strong differences between the estimates of the API and the official numbers from the EIA.
The oil benchmark u.s. West Texas Intermediate crude , gave up 44 cents, or about 0.7%, 65,92 per barrel on the New York Mercantile Exchange at 03h50 AND (0750GMT).
Moreover, the index of global benchmark, Brent crude, has lost 49 cents, or about 0.7%, 75,39 dollars a barrel on the exchange ICE Futures Europe.
During this time, traders of oil continued to weigh the potential outcomes for a meeting of major oil producers later this month.
The Organization of the petroleum exporting countries (OPEC) will meet at its headquarters in Vienna, at the same time that Russia is not a member of OPEC, the 22 June to discuss production policy.
The producers of OPEC and non-OPEC members reduced production by about 1.8 million b / d to support the price of oil and reduce the oil stocks higher. The agreement commenced in January 2017 and is expected to expire at the end of 2018.
However, saudi Arabia and Russia have stated that the cuts could be eased after it received queries from consumers, including the United States, China and India, to support global demand in reaction to the loss of supply from Venezuela and Iran.