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Crude oil futures ended Wednesday’s (Aug. 3) trading session down 4% after crude and gasoline inventories in the U.S. rose last week. OPEC and its allies were able to agree on a slight increase in production in September.
- WTI crude futures fell $3.76, or 4%, at $90.66 a barrel. This is the lowest closing level since Feb. 10.
- BRENT crude futures fell $3.76, or 3.7%, at $96.78 a barrel. This is the lowest closing level since Feb 21.
At the beginning, crude oil futures rise due to the results of the OPEC+ meeting. At the meeting, it was decided to increase production by only 100,000 barrels per day in September. This is far below the production increase of 648,000 barrels per day in July and August, while in June there was an increase in production capacity of 432,000 barrels per day.
Crude oil futures fell sharply after the EIA reported a 4.5 million barrel increase in U.S. crude oil inventories last week.
The EIA also reported that crude oil inventories at Cushing, Oklahoma, the delivery point for U.S. crude oil futures, increased by 926,000 barrels to 24.5 million barrels.
Gasoline stocks rose 163,000 barrels and distillate stocks, including heating oil and diesel, fell 2.4 million barrels last week.
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Thursday, August 4, 2022