Oil Slides With U.S. Refinery Outages Boding Poorly for Demand

  • Plant restarts may take a week after cold blast eases
  • U.S. crude stockpiles tumbled more than 7 million barrels
Texas Freeze Hits Global Oil Supply
Lock
This article is for subscribers only.

Oil fell the most in nearly a month alongside a broader market selloff with the ongoing energy crisis in the U.S. likely keeping refineries shut for another week.

Futures in New York declined 1% in a choppy trading session on Thursday. While U.S. oil output has plunged nearly 40% amid the unprecedented cold blast in parts of the country, crude demand from refineries is expected to remain weak as Gulf Coast fuel-making plants make repairs and take time to restart following operating issues caused by the freezing temperatures. Further pressuring prices, U.S. equities weakened after initial jobless claims hit a four-week high.