Oil Falls to Over 2-Month Low
WTI crude oil futures fell below $69 per barrel and Brent crude oil futures fell below $73 per barrel on Wednesday, nearing their lowest level since December 10, as rising supply concerns and a weaker demand outlook pressured prices.
Hopes for a potential Russia-Ukraine peace deal weighed on the market, as lifting Russian sanctions could increase global oil supply. The US and Ukraine also agreed on a draft minerals deal, a key step in President Trump’s push to quickly end the war. Additionally, fears that Trump’s tariffs on China and other trading partners could slow global economic growth added to concerns about future energy demand.
Meanwhile, EIA data showed US crude inventories fell by 2.33 million barrels last week, defying expectations of a build. However, stocks at the Cushing, Oklahoma hub rose by 1.2 million, alongside increases in gasoline and distillate inventories.
Source : Trading Economics