Oil Market Capped As U.S. Output Fast Approaches 10 Million Bpd

Oil prices were stable on Thursday, supported by falling crude inventories in the United States but capped by output that is fast approaching 10 million barrels per day, a level only surpassed by Saudi Arabia and Russia.

U.S. West Texas Intermediate (WTI) crude futures were at $58.12 a barrel at 0701 GMT, little changed from their last settlement.

Brent crude futures, international benchmark for oil prices, were unchanged at $64.56 a barrel.

Both crude benchmarks gained around 1 percent during their previous sessions, lifted by official data showing a 6.5 million-barrel fall in U.S. crude inventories in the week to Dec. 15 to 436 million barrels, the lowest level since October 2015.

Countering this on Thursday was another increase in American crude oil production, while a rise in gasoline stocks pointed to a slowdown in demand. Read More…

Oil market, US