WTI crude trades near six-week low

January 9, 2014

West Texas Intermediate crude traded near the lowest price in six weeks after Energy Information Administration data showed fuel stockpiles increased more than forecast in the U.S., the world’s biggest oil consumer, Bloomberg reported on January 9.

Futures were little changed in New York after losing 1.4 percent yesterday, the most since Jan. 3. U.S. gasoline and distillate inventories, including heating oil and diesel, expanded last week by more than double the median estimate in a Bloomberg News survey of analysts. A measure of fuel consumption slid to the lowest level in seven months while crude supplies decreased, according to the EIA, the Energy Department’s statistical arm.

WTI for February delivery was at $92.65 a barrel in electronic trading on the New York Mercantile Exchange, up 32 cents, at 3 p.m. Singapore time. The contract fell $1.34 to $92.33 yesterday, the lowest close since Nov. 27. The volume of all futures traded was about 62 percent below the 100-day average. Prices are down 5.9 percent so far this year.

Brent for February settlement advanced 40 cents to $107.55 a barrel on the London-based ICE Futures Europe exchange. The European benchmark crude was at a premium of $14.90 to WTI. The spread was $14.84 yesterday, the widest since Dec. 3 based on closing prices.

Copyright: Bloomberg, 2014