Oil Prices Stage Partial Rebound Morning After Inventory Data Shows Ballooning Supplies

Wext Texas Intermediate (WTI) crude oil futures for delivery in December were 0.7% higher at $45.67 per barrel during Thursday’s pre-market trading session while Brent oil futures for delivery in January were up by 0.9% at $47.30 per barrel.

The pre-bell price declines go a little way to offsetting the losses incurred by both oil gauges on Wednesday after US government data showed a larger-than-expected increase in inventories. WTI finished 2.9% lower and Brent dropped by 2.7% on Wednesday after data published by the Energy Information Administration (EIA) showed that US commercial crude oil inventories increased by 14.4 million barrels to 482.6 million barrels in the week ended October 28.

Receive News & Ratings Via Email - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings with MarketBeat.com's FREE daily email newsletter.

This contrasted to the 9.3 million barrel weekly increase projected by the American Petroleum Institute on Tuesday evening and erased the 0.6 million barrel decline recorded by the EIA in the week ended October 21.

Also feeding into sentiment was a lower greenback. At the time of writing, the Dollar Index, which tracks the value of the US currency against a basket of currencies, was 0.1% lower. As a dollar-denominated commodity, a lower US currency tends to make oil more affordable for international buyers.