Oil Prices Slip On Higher US Crude Inventories
Oil steadied on Oct. 26, pressured by an unexpected increase in U.S. crude inventories, high U.S. production and exports, but was supported near multi-month highs by tighter crude markets.
Brent crude was unchanged at $58.44 a barrel (bbl) by 5:10 a.m. CST (10:10 GMT). The global benchmark is not far below its 26-month high of $59.49 hit in late September.
U.S. West Texas Intermediate light crude was 10 cents higher at $52.28.
Markets have been supported by comments from Saudi Arabia’s energy minister earlier this week reiterating the kingdom’s determination to end a global supply glut that has weighed on prices for more than three years.
Crude oil for immediate lifting has moved to a premium over later futures prices, indicating that demand for oil is strong in many of the biggest consuming regions, including Europe.
Oil prices have been rising for weeks and some investors have begun to take profits, brokers say.
“The trend is up, but getting tired,” said Robin Bieber, technical chart analyst and a director of London brokerage PVM Oil Associates.
Published by Oil & Gas Investigators