The data from the US Department of Energy caused the fall of prices. Investors’ reaction to these data was not quite clear. The reduction of stocks seems to be there, but it is not as big as it was predicted.
Baker Hughes data have become a counterbalance at the market. The oil service company reported that the number of operating plants in the States had already decreased by 5 units over the past week. Now there are 788 installations in the country. These data appeared a little earlier than usual, since on Thursday the markets will be closed due to the celebration of Independence Day.
At 8 a.m. Moscow time, September contracts for Brent oil dropped to US $ 63.4 on the London Stock Exchange. This is 0.7% less than the rate at the last session. Then trading closed at around $ 63.8, with an intraday increase of $ 1.4.
American crude oil has dropped too. WTI cost $ 56.97 per barrel at NYMEX, New York. This is almost 40 cents less than the price of the previous session. On Wednesday, August futures closed at $ 57.3, showing an increase of more than $ 1.
The experts polled by S & P predicted a decline in US oil reserves by 3.7 million barrels. In fact, the decline was much less – only by 1.1 million.
Commercial energy reserves in Cushing have increased by 650 000 barrels.
The level of production has increased by 100 000 over the week. Now this figure is 12.2 million b / d.
Analysts assumed that gasoline inventories would decrease by 2.4 million barrels, distillates – by 1.4 million. But official data paint a very different picture. Gasoline stocks have fallen by 1.6 million, while distillate reserves have increased by 1.4 million.
Analysts say that it is too early to draw conclusions about the increase in demand for petroleum products. Seasonal factors could have caused the decrease in reserves.
Statistical data can lower the price only to a certain level. They are definitely putting pressure on the market, but OPEC will not let prices fall too much. The cartel has at its disposal such a powerful tool as control of supplies.
The material was prepared with the participation of Katya Wilson,
a leading analyst of the brokerage company UFT Group