Crude under pressure after gloomy US oil data
On Thursday, crude futures were dipping for six straight trading sessions, brought down by gloomy American crude data as well as a high probability of the UK’s departure from the EU.
In New York, July delivery sweet, light crude futures were worth $47.55 per barrel, showing a 1% slump. August delivery Brent oil futures sank 0.8%, trading at $48.61 per barrel.
Global crude prices have been on a downward marathon for days, first brought down by the prospect that the sag in American shale production since last year’s April could be reversing on rising rig counts.
In the week ending June 10, American crude stockpiles slumped less than expected, edging down up to 933,000 barrels. As for stockpiles, they surged too, approximately by 525,000 barrels.
However, crude output dipped by 29,000 barrels, currently accounting for 8.72 million barrels per day.
While the outlook for global crude fundamentals are still constructive, with slight global oil and product draws expected in the second half of 2016, the current sentiment in the crude markets appears to be risk averse.