Oil extended a decline after an industry report showed a massive increase in U.S. crude stockpiles, reviving fears of a global glut.
Futures in New York fell by about 1 percent, down for a second day. U.S. inventories swelled by 7.29 million barrels last week, the American Petroleum Institute was said to report. If Energy Information Administration data due Wednesday confirms that, it would be the biggest increase in six weeks. Investors are also looking for a breakthrough on U.S.-China trade talks that have dragged on for the past several weeks.
West Texas Intermediate for April delivery slipped as much as 1.1 percent to $55.96 a barrel on the New York Mercantile Exchange before trading 52 cents lower at $56.04 at 11:06 a.m. in Singapore.
Brent for May settlement was at $65.32 a barrel, down 54 cents, on the London-based ICE Futures Europe exchange. The global benchmark crude’s premium over WTI for the same month narrowed to $8.89 a barrel.
Source : Bloomberg