Oil prices extend losses after a spike in US inventories

Oil prices declined in European trade on Wednesday, extending losses for the second session, with US crude falling below $81, while Brent hit two-week lows after initial data showed a surge in US crude stocks. 

Now traders await official EIA data later today, still expected to show the third weekly inventory drawdown in a row.

Global Prices 

US crude slid 0.9% today to $80.57 a barrel, while Brent dropped 0.75% to $84.61 a barrel, with a session-high at $85.27.

US crude lost 0.85% on Tuesday, while Brent fell 0.9%, the fifth loss in six sessions. 

US Stocks

The American Petroleum Institute reported a surge of 9.3 million barrels in US crude stocks last week, while analysts expected a drop of a million barrels. 

According to the data, total US stocks fell to 460.5 million barrels, the highest since the week ending July 2023, in a negative sign for demand in the US. 

Now traders await the official US inventory report from the Energy Information Administration later today.