Oil prices fell on Wednesday, amid traders' expectations of a potential jump in US oil inventories, UNN writes, citing Reuters.
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Brent crude futures fell 34 cents, or 0.5%, to $66.3 a barrel by 08:12 GMT (11:12 Kyiv time). US West Texas Intermediate (WTI) crude fell 32 cents, or 0.5%, to $63.35.
Market sources said, citing data from the American Petroleum Institute on Tuesday, that US oil inventories rose by 4.3 million barrels in the week ended May 9, while gasoline inventories fell by 1.4 million barrels and distillate inventories fell by 3.7 million barrels.
The slight decline in oil prices in the morning was the result of an unexpected build-up in oil inventories, said PVM analyst Tamas Varga.
The drop in gasoline inventories comes as countries prepare to enter the summer driving season in the Northern Hemisphere.
Analysts at Roth Capital Markets said in a note Tuesday evening that the decline in product supply shown in the API data was positive for the oil complex in the long term as it indicated an undersupply in the oil market.
US oil and gasoline inventories likely fell last week, distillate inventories likely rose, and gasoline inventories may have fallen, an expanded Reuters poll showed ahead of the data release.
Global Head of Commodities at Rystad Energy Mukesh Sahdev said that preventing oil price spikes during the summer travel season will be a key part of US President Donald Trump's agenda during his trip to the Persian Gulf.
The United States could take advantage of lower prices to buy more Middle Eastern oil for its strategic oil reserve, he added.
"The big unknown for the market is how US actions on Iran, Russia and Venezuela will lead to disruptions or increases in supply," Sahdev said.
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