Oil Prices Dip on US Inventory Build, OPEC+ Output Hike Expectations
Oil prices fell in Asian trade on Thursday, reversing sharp gains from the prior session after data showing an unexpected build in U.S. inventories raised some concerns over sluggish fuel demand.
Focus was also squarely on a meeting of the Organization of Petroleum Exporting Countries and allies (OPEC+), which is set to increase output again during an upcoming weekend meeting.
Brent oil futures for September fell 0.6% to $68.68 a barrel, while West Texas Intermediate crude futures fell 0.7% to $65.58 a barrel by 21:19 ET (01:19 GMT).
Both contracts soared between 2.5% and 3% on Wednesday after Iran’s suspension of cooperation with the United Nations’ nuclear watchdog ramped up fears of a reescalation in hostilities in the Middle East.
But the gains did not hold, especially as markets remained on edge over increasing supplies elsewhere, while concerns over slowing demand also weighed. Focus on Thursday is on a barrage of key U.S. labor readings for more cues on the world’s largest fuel consumer.
Source : Investing.com
