Oil struggled to extend gains beyond a five-month high as an increase in U.S. crude inventories to the highest since late 2017 overshadowed OPEC’s efforts to reduce production.
Futures fell as much as 0.5 percent in New York after climbing 1 percent Wednesday. American crude inventories rose by 7.03 million barrels last week, Energy Information Administration data showed. That may undermine Saudi Arabian-led efforts to curb a glut, with OPEC saying in its monthly report that production tumbled by 534,000 barrels a day last month to around 30 million.
West Texas Intermediate for May delivery fell 25 cents, or 0.4 percent, to $64.36 a barrel on the New York Mercantile Exchange as of 10:10 a.m. in Singapore. It finished up 63 cents at $64.61 on Wednesday, the highest closing level since Oct. 31.
Brent for June settlement declined 14 cents to $71.59 a barrel on the London-based ICE Futures Europe exchange. The contract climbed 1.6 percent to settle at $71.73 on Wednesday, the highest close since Nov. 7. The global benchmark crude was at a premium of $7.18 to WTI for the same month.
Source : Bloomberg