US Crude Production Hits Record High, Stockpiles Unexpectedly Rise

Frank Fredericks arriving at court in Paris

US Crude Production Hits Record High, Stockpiles Unexpectedly Rise

Overall petroleum stocks fell by 9.1 million barrels led by a 3.3 million barrel dip in gasoline inventories and a 3.4 million barrel decline in distillate fuel oil used to make diesel and heating oils.

US crude futures for December delivery extended losses after the data to fall 64 cents to $56.56 a barrel by 10:55 a.m. EST (1555 GMT).

During the week ending on 3 November, total USA commercial crude inventories rose by 2.2m barrels (consensus: 2.9m) versus the prior week to reach 457.1m barrels, according to the Energy Information Administration.

"The most notable thing in the EIA report was that production increased". USA crude was down 0.3% to $57.04.

Crude imports rose 1.1 million barrels per day last week, while exports, by contrast, fell 1.3 million bpd from the previous week's record rate to just 869,000 bpd.

Regional gasoline stockpiles also hit near-term lows.

Brent futures have gained around 14 percent in the last month alone, propelled largely by evidence that output cuts by OPEC and its partners are reducing the global oil glut.

Meanwhile, analysts said investors also tended to take profit after oil prices posted solid gains earlier this week.

Crude oil futures fell from 2-year highs Wednesday after a surprise build in United States oil inventories.

Latest News