Daily Times

Crude prices fell on Thursday after official data showed a big increase in US gasoline stocks, sparking concerns about demand weakening in the world’s biggest oil consumer as crude supplies around the world rise. Brent crude fell 51 cents, or 0.8%, to $62.65 a barrel by 0648 GMT. US oil fell 53 cents, or 0.9%, to $59.24 a barrel. While crude oil stocks in the United States fell more than forecast by analysts, gasoline inventories jumped sharply, also against expectations, the US Department of Energy said on Wednesday. Oil inventories dropped by 3.5 million barrels last week to nearly 502 million barrels, and gasoline stocks increased by 4 million barrels, against expectations of a decline, to just over 230 million barrels, as refiners ramped up production before the summer driving season. “Refiners may want to pull back on the run rate a bit to keep gasoline storage from challenging the all-time record,” said Bob Yawger, director of energy futures at Mizuho Securities. At the same time, supply is rising across the world with Russian output increasing from average March levels in the first few days of April, traders said.