28th August 2014
The US crude price flirted with the $94 boundary throughout yesterday's session, although gains were limited despite American stockpiles shrinking more than anticipated.
It had been reckoned that the EIA's report would show that there was a decline of 1.3 million barrels last week, but the actual drop was 2.1 million. That reduced inventories to 360.5 million barrels stored at Cushing, Oklahoma.
Crude oil trading experts didn't go crazy at the news thanks to the ongoing conflicts in Iraq, Libya and Ukraine keeping them on edge. That said, Iraqi exports have stayed near record levels and Libyan ones have actually increased, so there's no immediate concern about a shortage.
However, US crude prices would've gained some buoyancy due to maintenance work on North Sea rigs reducing the amount of Brent that they're producing. Despite that though, by 0700 GMT, US crude had fallen to $93.60 a barrel.
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