Oil prices Decline After US Crude Inventories Rise Unexpectedly

PUKMEDIA

Oil field.

Oil prices fell on Wednesday after data showed an unexpected increase in US crude inventories, outweighing ongoing supply disruptions in the Middle East after Saudi Arabia suspended loading operations at a key port following Houthi attacks.

Crude prices also came under pressure from profit-taking after rallying sharply in recent weeks amid escalating tensions between the Houthis and Saudi Arabia and the continuing crisis in the Strait of Hormuz.

Brent crude futures fell 0.5% to $108.22 a barrel, while West Texas Intermediate (WTI) crude futures declined 0.8% to $105.00 a barrel.

Traders also held back from making major bets ahead of the Federal Reserve’s meeting later on Wednesday, with the central bank widely expected to raise interest rates.

Data from the American Petroleum Institute (API) showed that US crude inventories increased by 7.14 million barrels in the week ending 11 September, contrary to expectations for a decline of 1.8 million barrels.


PUKMEDIA