SULAIMANI (ESTA) — Oil prices fell on Wednesday after industry data showed a surprise build in U.S. crude stocks last week.
Brent crude futures fell 35 cents to $65 a barrel at 0626 GMT, erasing Tuesday’s 13 cents gain. U.S. West Texas Intermediate (WTI) crude futures were down 65 cents at $61.06 a barrel.
Crude stockpiles rose by 1 million barrels in the week to February 19, the American Petroleum Institute (API) reported on Tuesday.
API data showed refinery crude runs fell by 2.2 million bpd, according to Reuters.
Brent prices, however, might rise into a range of $66.45-$66.97 per barrel again, as suggested by its wave pattern and a projection analysis, Reuters technical analyst Wang Tao said.
“The key question is how quickly does U.S. oil supply recover,” Reuters quoted Commonwealth Bank analyst Vivek Dhar as saying.
“It looks like supply will recover faster than refineries, and supply is going to outpace demand in the next few weeks. That will give negative weight to the market.”
Investors will be awaiting confirmation from the U.S. Energy Information Administration later on Wednesday that crude inventories rose last week, despite the hit to shale oil production amid the unprecedented icy spell in the U.S. south.
