Surging US Stocks Sink Oil Prices!


 Oil prices were dragged lower by disappointing US crude supply data, further fueling concerns about global fuel demand.

Ahead of the opening of the European session, Brent crude oil futures traded at $95 a barrel while US WTI traded slightly lower at $88 a barrel.

Both benchmarks fell sharply on Tuesday, with Brent trading down 2.9%, while US WTI fell 3.4%.

The latest data from the American Petroleum Institute (API) showed US oil supplies jumped by 5.6 million barrels in the week ending November 4.

The figure was higher than expectations for an increase of only 1.4 million barrels by the market.

This in turn adds to the market's concern about global demand, not to mention the world's main oil importer, China is also struggling with the latest surge of Covid-19 this week.

Also saddening the oil market are the gloomy data from China which show that growth is weakening in the world's second giant economy.