API inventory opposed to crude market expectations


19-09-2018 05:45 PM

Oil prices were varied on Wednesday morning in Asia as U.S. crude stocks rose and markets waved off growing trade worries.

Data from the American Petroleum Institute (API) revealed on Tuesday that U.S. crude stocks climbed by 1.2 million barrels to 397.1 million in the week to Sept. 14, opposed to market expectations of a fall of 2.7 million barrels.

According to Mr.Ponmudi, Market Expert and Managing director at Enrich Commodities - The U.S. crude build momentarily snatched trader notice. Growing fuel stocks in the U.S. and strong crude runs could show the way to a bigger premium for Brent against WTI.

In the interim, the latest trade disagreement between Washington and Beijing shot up as U.S. President Donald Trump pronounced 10% duty on $200 billion worth of Chinese products on Monday, which is planned to start from Sep. 24. China hit back by totalling $60 billion of U.S. goods to its import duty list on Tuesday.The mounting trade issues sent qualms to the oil market.

Ministers from OPEC nations and non-OPEC oil producers are due to meet on the coming Sunday to discuss about production policies. Mexico’s incoming government, which will take office in December, started re-examining oil contracts as guaranteed.