Oil lower ahead of US inventory report

A round of profit taking has hit oil today after rising to the highs of year yesterday. The selling started after the API private inventory data late yesterday showed:

• Crude -1519K
• Gasoline -1574K
• Distillates +512K
• Cushing +325K

There was some chatter yesterday of a 6 million barrel crude oil draw but that’s cooled to 3-4 million following API. The consensus is much more benign but I’m not sure it’s trustworthy given the post-API moves in energy.

• Crude +13K
• Gasoline -1350K
• Distillates -87K

The data is due out at the bottom of the hour. WTI crude oil was last down $1.41 to $82.06.

This article was written by Adam Button at www.forexlive.com.