WTI Slips a Second Day as Record Crude Supplies Seen Expanding

West Texas Intermediate slipped for a second day amid speculation crude inventories at a record high expanded further in the U.S., the world’s biggest oil consumer.

Futures were 0.1 percent lower in New York after dropping 0.3 percent yesterday. Crude stockpiles probably rose by 1 million barrels last week to 400.4 million, according to a Bloomberg News survey before a government report tomorrow. That would be the highest level since the Energy Information Administration began reporting weekly data in 1982. Libyan output fell amid continued shutdowns of oil fields by protesters.

WTI for June delivery was at $99.39 a barrel, down 9 cents, in electronic trading on the New York Mercantile Exchange at 8:58 a.m. Sydney time. The contract fell 28 cents to $99.48 yesterday. The volume of all futures traded was about 87 percent below the 100-day average.

Brent for June settlement dropped 87 cents, or 0.8 percent, to $107.72 a barrel on the London-based ICE Futures Europe exchange yesterday. The European benchmark ended the session at a premium of $8.24 to WTI.

U.S. crude supplies have climbed to the highest level since April 1931, monthly government data going back to 1920 show. Reports before 1976 were based on Bureau of Mines figures, according to the Energy Information Administration, the Energy Department’s statistical arm. Alaskan crude in transit was included from 1981.

To contact the reporter on this story: Ben Sharples in Melbourne at bsharples@bloomberg.net

To contact the editors responsible for this story: Pratish Narayanan at pnarayanan9@bloomberg.net Alexander Kwiatkowski, Ovais Subhani

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.