UNITED STATES (OBSERVATORY) – Oil prices on Thursday continue to rise and update the highs for more than three years due to data on the unexpected decline in commercial fuel reserves in the US.
In addition, the market is waiting for the meeting of the monitoring committee of OPEC and a number of non-OPEC countries to reduce oil production, which will be held April 19-20 in Saudi Arabia.
The June Brent crude oil futures contract on the ICE Futures exchange in London increased by $ 0.46 (0.63%) to $ 73.94 per barrel by 8:00 on April 19, Moscow time.
Oil WTI for delivery in May in electronic trading on the New York Mercantile Exchange (NYMEX) rose by $ 0.40 (0.58%) on Thursday morning, to $ 68.87 per barrel.
On Wednesday, June Brent went up by $ 1.90 (2.7%), to $ 73.48 per barrel, May WTI – by $ 1.95 (2.9%), to $ 68.47 per barrel. Both brands on Wednesday reached the maximum marks since the end of 2014: WTI from December, Brent – since November.
According to the US Department of Energy, last week’s oil reserves in the country fell by 1.07 million barrels, gasoline – by 2.97 million barrels. This was in general the same as previously reported by the American Petroleum Institute (API). Analysts had expected an increase in inventories of 625,000 barrels and a reduction in gasoline reserves by 1.9 million barrels.
Stocks of distillates collapsed by 3.1 million barrels.
In addition, oil reserves at the terminal in Cushing, where the physical volumes traded on the NYMEX are stored, fell by 1.12 million barrels. The indicator has been steadily rising in recent weeks.
“A significant reduction in imports contributed to the use of oil reserves, while the load of the refinery remains high,” said Matt Smith, director of raw materials research at ClipperData.
According to him, since the beginning of this year, commodity oil reserves in the US have grown by only 3 million barrels, while in the same period of 2017, the rise was more than 50 million barrels, writes MarketWatch.