Oil Near 1-Week Low as Supply Counters Europe Optimism

Oil traded near its lowest level in almost a week in New York as a forecast that U.S. crude supplies increased balanced optimism that a new agreement on aid for Greece will help resolve Europe’s debt turmoil.

Futures were little changed, paring an earlier advance of as much as 0.6 percent. U.S. crude inventories probably rose 500,000 barrels last week, a Bloomberg News survey of analysts before an Energy Department report tomorrow showed. European Union ministers agreed to help Greece manage its debt burden in talks in Brussels that lasted 13 hours, an EU official said early today. The OECD cut growth forecasts and warned of the risk of a “major” global recession.