WTI ended down 0.2% to $ 45.52 and Brent ended up 0.04% to $ 48.86.
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Oil prices dropped their gains on Wednesday after a massive increase in crude inventories in the United States and despite hopes of better days for demand with COVID-19 vaccines.
In New York, the US barrel of WTI for the month of January fell 8 cents or 0.2% to 45.52 dollars.
A barrel of Brent from the North Sea for February delivery gleaned 0.04% or 2 cents in London, at 48.86 dollars.
“The surge in oil and gasoline stocks in the United States simply wiped out the gains in the oil market,” explained David Madden, analyst at CMC Markets.
Trending upward at the start of the US session, black gold prices retreated after the publication of the weekly report of the US Energy Information Agency (EIA) before regaining some strength.
According to EIA figures, commercial crude inventories in the country soared by more than 15 million barrels to stand at 503.2 million barrels (MB) as of December 4.
Reserves of gasoline increased by 4.2 MB and those of distillates (heating gas and fuel oil) by 5.2 MB, figures which confirm the weak demand for black gold in the United States.
The United States saw a similar increase in its crude stocks in April, but such a weekly increase is extremely rare.
The day before, it was the American Petroleum Institute (API), the federation that brings together professionals in the petroleum sector, which had published its estimate and reported an increase of 1.1 million barrels.
Analysts polled by Bloomberg earlier in the day forecast a slight decline, fueling some optimism in the market fueled by the first vaccination campaigns, especially in the United Kingdom, synonymous in the medium term with an end to travel restrictions and by route as a consequence of the resumption of demand for crude.
“Despite disappointing US stocks figures, demand data and a bleak near-term outlook, we are optimistic for the oil market in 2021,” commented Bart Melek of TD Securities, who predicts a barrel of WTI close $ 50 once the global economy stabilizes.
“The Biden administration and the other major economies of the world will seek to adopt a stimulus plan of magnitude, supposed to restart demand in the United States and elsewhere,” he continues.
Moreover, explains Mr. Melek, the gradual return of barrels from the main producing countries from January should be moderate enough not to flood the market with excess supply.
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