Crude oil prices slipped on Wednesday, extending recent slide, as data from U.S. Energy Information Administration showed crude stockpiles increased last week, rising for a sixth successive week.
However, with last week’s increase turning out to be less than expected, oil’s fall was somewhat limited.
Crude oil futures for December ended down $0.87, or 1.3%, at $65.31 a barrel. On Tuesday, crude oil futures closed down $0.86, or 1.3%, at $66.18 a barrel.
In October, crude oil shed about 11%, the biggest monthly loss in more than two years.
According to the data released by the U.S. Energy Information Administration, crude oil inventories increased by 3.22 million barrels in the week ended October 26, less than forecasts for an over 4 million barrels increase. Earlier, U.S. crude stockpiles had increased more than expected on five successive weeks.
The report from EIA said gasoline inventories fell by 3.16 million barrels in the week ended October 26, about million barrels more than the expected drop.
A report released by the American Petroleum Institute on Tuesday showed U.S. crude supplies rose by 5.7 million barrels last week, more than analyst forecasts for a 4.1 million-barrel build.
Meanwhile, with U.S. sanctions on Iranian oil exports set to commence this Sunday, the market is waiting to see as to what extent global supply will be impacted due to loss of Iranian oil.
According to recent reports, Iran’s oil ministry started selling crude oil to private companies in the country for export, aiming to counter the sanctions.