Oil prices fell this morning, Wednesday, affected by the release of a report indicating a rise in US inventories.<\/p>\n
Investors’ fears also affected oil prices, as the possibility of the United States defaulting on its debt payments led to investors to withdraw their money from high-risk assets.<\/p>\n
US West Texas Intermediate crude fell 1.5 percent to $74, reversing Tuesday’s gains, while Brent is trading lower by the same percentage below $78.<\/p>\n
US crude stocks expanded by more than 4 million barrels last week, according to the industry-funded American Petroleum Institute.<\/p>\n
It would be the first increase in stocks nationwide in eight weeks, if confirmed by government data later on Wednesday.<\/p>\n
Oil prices rose recently as demand rebounded amid also strong gains for natural gas.<\/p>\n
The rally lifted the price of global benchmark Brent crude above $80 a barrel for the first time in three years, before also reversing Tuesday’s gains.<\/p>\n
During a Senate hearing, both Federal Reserve Chairman Jerome Powell and Treasury Secretary Janet Yellen warned that a default in the United States due to the failure to raise the debt ceiling would have dire consequences.<\/p>\n
Without action, Yellen said, her administration will effectively run out of funds on October 18. Global stocks and commodities declined as investors became more cautious.<\/p>\n
Energy prices this month have raised government concerns and speculation that the Organization of the Petroleum Exporting Countries (OPEC) and its allies (OPEC+) may ease supply curbs at a faster pace.<\/p>\n
The surge in energy prices this month has raised concerns in governments, as well as speculation that the OPEC+ may ease supply curbs at a faster pace.<\/p>\n