US EIA data reveals a significant drop in oil stockpiles, with a contraction of 5.96 million barrels last week.
Saudi Arabia and Russia’s supply cuts provide a buffer, while the Fed’s monetary policy stance could influence the US Dollar and commodity prices.benchmark, extends its losses below the $80.00 psychological figure amidst a drop in US oil stockpiles while woes about China’s economic deceleration could dent oil’s demand, as reflected by WTI’s price. At the time of writing, WTI exchanges hands at around $79.70 per barrel after reaching a daily high of $81.39.
On Wednesday, data from the US Energy Information Administration showed that inventories fell as exports surged, even though crude production hit its highest levels since the Covid-19 pandemic weighed fuel consumption. Stockpiles dropped by 5.96 million barrels in the week of August 11 to 439.7 million barrels, above estimates for a 2.3 million-barrel contraction.