Oil moderately lower

Oil futures have returned to lows, losing all previously-earned positions, on mixed data on US petroleum inventories.

US Department of Energy reported that crude oil inventories unexpectedly fell, despite the decrease in activity in the sphere of oil, but gasoline stocks increased markedly. According to the report, during the week ending September 17-23, oil reserves fell by 1.9 mln barrels to 502.7 million barrels. The experts predicted an increase of 3.0 million barrels. Oil reserves in the terminal Cushing (Oklahoma) fell by 631,000 barrels to 62.1 million barrels. Gasoline inventories rose by 2 million barrels to 227.2 million barrels. Analysts had expected stocks to remain unchanged. Distillate stocks fell by 1.9 million barrels to 163.1 million barrels. Analysts had forecast an increase of 100,000 barrels. The utilization of refining capacity decreased by 1.9% to 90.1%. Analysts had expected a decline of 0.9%. Meanwhile, oil production in the US dropped to 8.497 million barrels per day versus 8.512 million barrels per day from the previous week.

Overall, today's data contrasted somewhat with the report of the American Petroleum Institute (API), which was published yesterday. Recall that API said that crude oil inventories last week fell by 750 thousand barrels, after a decrease of 7.5 million the previous week. Gasoline inventories fell by 3.7 million barrels, while distillate stocks fell by 300 thousand barrels. Stocks in oil storage in Cushing fell by 800 thousand barrels.

Investors are also waiting for the results of the OPEC meeting, which takes place in Algeria. In recent years, the likelihood of coordinated action by the cartel fell, but the representatives of the OPEC reported that the results of this meeting can lay the groundwork for an agreement at the November meeting of OPEC. However, analysts note that the differences between Saudi Arabia and Iran represent a serious obstacle to any agreement, even if the oil production will be frozen at current levels, it will not eliminate the excess supply.

The cost of the November futures for US light crude oil WTI (Light Sweet Crude Oil) fell to 44.74 dollars per barrel on the New York Mercantile Exchange.

November futures price for North Sea petroleum mix of mark Brent fell to 46.20 dollars a barrel on the London Stock Exchange ICE Futures Europe.