Oil extended declines to trade near $55 a barrel as U.S. industry data showed crude stockpiles continued to climb.
Futures lost as much as 1.3 percent in New York after falling 1.9 percent on Tuesday. Inventories increased by 6.51 million barrels last week, the American Petroleum Institute was said to report. That would be the biggest gain since March if replicated in government data on Wednesday. The International Energy Agency trimmed estimates for demand next year amid a recovery in crude prices, according to its monthly market report.
West Texas Intermediate for December delivery slid as much as 71 cents to $54.99 a barrel on the New York Mercantile Exchange, and traded at $55.06 at 7:54 a.m. in Hong Kong. Total volume traded was about 38 percent below the100-day average. Prices dropped $1.06 to $55.70 on Tuesday.
Brent for January settlement fell 95 cents, or 1.5 percent, to $62.21 a barrel on the London-based ICE Futures Europe exchange on Tuesday. The global benchmark crude ended the session at a premium of $6.32 to January WTI.
Source : Bloomberg