Tokyo (Reuters) – I got off Oil prices Today, Wednesday, threatening to end the longest rise in two years, as investors ignored data for the sector showing a decline US crude oil inventoriesWhich boosted optimism about an expected increase in global demand for fuel.
Brent crude fell 1 cents to 61.08 dollars a barrel by 07.52 GMT, after increasing about 1 percent on Tuesday, when it touched its highest level in 13 months. And US crude fell eight cents to $ 58.28.
Brent rose for eight days in a row, the longest continuous winning streak since January 2019. The US crude won for seven days in the longest rise since February 2019.
“Rising oil prices may encourage an increase in global production, while higher hedging may limit the upside further,” said Kevin Solomon, energy economics analyst at StoneX.
The US Energy Information Administration said this week that it expects a rise in production in the United States in the second half of 2021 and 2022, but it revised downward its estimate of increasing production for the full year.
Yesterday, Tuesday, data from the American Petroleum Institute showed that crude inventories in the United States decreased by 3.5 million barrels in the week ending on February 5, to about 474.1 million barrels.
This comes in comparison with analysts’ expectations in a Reuters poll for an increase of 985,000 barrels. Official data from the Energy Information Administration is due for release by 15:30 GMT today.
Crude stocks at the delivery center in Cushing, Oklahoma, fell 1.4 million barrels, according to the Petroleum Institute.
But gasoline stocks increased by 4.8 million barrels, compared with analysts’ expectations in a Reuters poll for an increase of 1.8 million barrels.
Oil prices have risen since November; Governments have launched vaccination campaigns against the Coronavirus, while pumping out massive stimulus packages to boost economic activity.