Forex Marketz Daily Forex News – Fully Markets Update
Crude oil future nudged higher during this morning’s Asian trade session. This follows a big drop overnight as data showed a big increase in inventory in the United States. There are also rising global tensions regarding the murder of a prominent Saudi journalist.
As of 12:30 am GMT, U.S. West Texas Intermediate (WTI) crude, for October delivery, was up. This contract gained 17 cents to trade at $69.92 a barrel. This contract lost three percent during the overnight session to close below $70. This is the first time in a month it was below $70.
The international benchmark, Brent crude was also up. This contract gained 23 cents, or 0.3 percent, to trade at $80.28. During the last session it shed 1.7 percent.
U.S. Inventories Spike Higher last Week
According to data from the U.S. Energy Information Administration, released on Wednesday, inventory was up 6.5 million barrels last week. This is the fourth straight weekly build. This was almost triple what economists had expected.
U.S. crude production fell 300,000 barrels per day to 10.9 million barrels per day last week thanks to offshore facilities being closed for Hurricane Michael.
In other headlines, U.S. lawmakers have accused the Saudi leadership for the assassination of a prominent Saudi journalist Jamal Khashoggi. They could levy sanctions.
Western states are pressuring Saudi Arabia to provide answers. However, statements from President Donald Trump suggested the White House may not take additional action against the Kingdom. Saudi Arabia has said that they will conduct an investigation into the matter.
