Petroleum prices proved choppy on Wednesday after a U.S. government report showed a large rise in crude inventories south of the border, signaling ample supply even as the Organization of the Petroleum Exporting Countries achieves record compliance with its output-cut accord.
Late Wednesday morning, Brent crude was down 18 cents at $55.79 U.S., after briefly turning positive. U.S. crude had fallen 11 cents to $53.09 U.S.
U.S. inventories rose by a larger-than-expected 9.5 million barrels last week to a total of 518.1 million barrels in the week through Feb. 10, the Energy Information Administration (EIA) reported. Analysts expected U.S. crude inventories to rise by 3.5 million barrels.
EIA data showed that crude stocks at the Cushing, Oklahoma, delivery hub fell by 702,000 barrels.
Gasoline stocks rose by 2.8 million barrels, compared with analysts' expectations in an economist poll for a 752,000-barrel drop. EIA data also showed that distillate stockpiles, which include diesel and heating oil, fell by 689,000 barrels, versus expectations for a 696,000-barrel fall.
