Oil prices traded roughly flat as the clock approached midday Wednesday, as data showing record crude stocks was offset by evidence that production in an oversupplied market continues to decline.
The U.S. Energy Information Administration reported crude inventories rose by 10.4 million barrels to a total of 518 million barrels. The build was almost three times more than the 3.6-million-barrel increase pegged by analysts as being realistic.
The American Petroleum Institute had said on Tuesday U.S. crude inventories jumped by 9.9 million barrels last week, many more than the 3.6-million-barrel increase analysts had forecast.
The EIA also reported U.S. oil production fell last week by about 25,000 barrels per day (bpd) to just over nine million bpd, making its way down from a peak of 9.6 million bpd in April. More reliable monthly figures from EIA put U.S. crude production at 9.2 million bpd in December.
The EIA also reported crude stocks at the Cushing, Oklahoma, delivery hub rose by 1.2 million barrels, hitting another all-time high.
Gasoline stocks fell by 1.5 million barrels, more than a drop of 1.1 million barrels expectedl. EIA data also showed Distillate stockpiles, which include diesel and heating oil, rose by 2.9 million barrels, versus expectations for a 1.2 million-barrel fall.
Related Stories
