REUTERS
Crude futures fell in Asian trade on Thursday, adding to sharp losses the previous session after the Federal Reserve raised rates for the first time in nearly a decade and official figures showed a surprise build in U.S. inventories, according to Reuters.
Brent crude for February delivery LCOc1, the front-month contract from Thursday, fell 12 cents to $37.27. The global benchmark fell 3.3% the previous session,Reuters wrote.
The U.S. Fed hiked interest rates for the first time in nearly a decade on Wednesday, a sign it believes that the U.S. economy had largely overcome the calamity that was the 2007-2009 financial crisis.
Higher U.S. rates typically support the dollar, making oil and other commodities denominated in the greenback more expensive, undermining demand.
Oil traders were already worried about a growing global glut of oil which has pressured prices in recent weeks. Data from the U.S. Energy Information Administration showed crude inventories rose 4.8 million barrels last week to near record highs. Analysts in a Reuters poll had forecast a decrease of 1.4 million barrels.
"Last night's inventory data from the U.S. was clearly unsettling," said Ric Spooner, chief market analyst at CMC Markets in Sydney, according to Reuters.
The oil cartel countries do not expect a significant growth in oil prices in 2016 due to the expected increase in Iranian crude on the global market.