Reuters: Oil slips on profit-taking, weak demand outlook

09:00, 24 October 2019
Economy
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REUTERS

Brent crude futures LCOc1 fell 33 cents, or 0.5%, to $60.84 a barrel by 0335 GMT, Reuters said.

The international benchmark crude rose 2.5% on Wednesday to settle at $61.17 a barrel, levels not seen since September 30.

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West Texas Intermediate (WTI) crude futures CLc1 dropped 44 cents, or 0.8%, to $55.53 per barrel. U.S. crude closed 3.3% higher in the previous session.

"Oil is seeing profit-taking in Asia after last night's sharp up-move," said Jeffrey Halley, senior market analyst at OANDA.

U.S. crude inventories fell 1.7 million barrels in the week ended October 18, compared with analysts' expectations for a 2.2 million barrel build, data from the Energy Information Administration showed.

This was in stark contrast with earlier inventory data released by industry group the American Petroleum Institute (API), which showed a build of 4.5 million barrels in U.S. crude stocks.

The EIA said the drawdown in weekly stocks came as refineries hiked crude runs and oil imports fell, which prodded a jump in both benchmark crude grades on Wednesday.

But persistent concerns about weak demand outlook continue to weigh on market sentiment, traders said.

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