On Thursday the prices of oil decreased in US which resulted in surge in stockpiles. On the other hand, outside US, the markets of oil continued to be tensed because US exempted sanctions on Iran were expired, and because of an increase political problems in Venezuela and because OPEC is still withholding the supply.
The stocks of Spot Brent oil were at $71.91 per barrel at the time 02:39 which is 0.4% below then their last close.
The stocks of US West Texas Intermediate were $63.41 per barrel which decreased 0.3%.
According to ANZ bank the prices of crude oil decreased abruptly when stockpiles is US went up to the maximum level since 2017.
The bank stated that this happened because when US refineries go through spring maintenance, stoking doubts that the demand of crude oil will be soft and stockpile will keep on increasing.
On Wednesday Energy Information Administration said that last week the stockpiles of US crude oil rose to the maximum level since 2017 in US. It jumped from 9.9 million barrels to 470.6 barrels. The production made the record of 12.3 million barrel each day. The rates of refinery activity decreased.
U.S. crude stockpiles last week rose to their highest since September 2017, jumping by 9.9 million barrels to 470.6 barrels, as production set a record high of 12.3 million barrels per day (bpd), while refining activity rates fell, the Energy Information Administration (EIA) said on Wednesday.
On Wednesday, the energy minister of Oman, Mohammed bin Hamad said that OPEC’s goal was to continue with the cuts.
Regardless of the wish of many OPEC members to continue withholding the supply to keep up the market they might be obligated to not to do so.
Canadian bank stated the situation in Venezuelan will probably emerge more because of OPEC considerations of how many more barrels may be required to the increasing gap which being created by geopolitics which is opposed to geology.