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Oil prices drop amid prospects of higher US supply

0 Comment(s)Print E-mail Xinhua, October 19, 2022
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Oil prices fell on Tuesday, driven by expectations of more U.S. supply.

The West Texas Intermediate for November delivery decreased 2.64 U.S. dollars, or 3.1 percent, to settle at 82.82 dollars a barrel on the New York Mercantile Exchange. Brent crude for December delivery lost 1.59 dollars, or 1.7 percent, to close at 90.03 dollars a barrel on the London ICE Futures Exchange.

The pullback came after reports that the U.S. government would continue releasing crude oil from reserves.

Bloomberg reported that the U.S. Joe Biden administration is moving toward a release of at least another 10 million to 15 million barrels of oil from the nation's emergency stockpile in a bid to keep gasoline prices from climbing further, citing people familiar with the matter.

Also weighing on the prices were worries that a slowing global economy would hurt energy demand.

Meanwhile, traders awaited data on U.S. fuel stockpiles as the U.S. Energy Information Administration is set to release its weekly U.S. petroleum inventory report on Wednesday.

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