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US Inventories of Crude Continue to Fall, Oil Prices Flat

December 28, 2017 at 17:48 by Vladimir Vyun

The Energy Information Administration released its data about US crude oil inventories, delaying it for one day due to the holiday on Monday. While the report was bullish, prices did not react to it.

The reserves shrank by 4.6 million last week backyard bounce house as refineries were running close to the full capacity. Stockpiles at Cushing, Oklahoma, the major delivery hub for NYMEX oil, decreased by 1.6 million barrels.

Experts explained the markets’ muted reaction to the data by the fact that the end of year is extremely close, and traders do not want to take positions when just one full day of trading left. Additionally, the EIA report showed that gasoline inventories increased, and that could be another reason that prevented prices from rising.

Futures for delivery of WTI crude oil in February were basically flat at $59.63 per barrel as of 17:43 on NYMEX today. Brent crude was also barely changed at $66.43 per barrel on ICE.

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