The American Petroleum Institute (API) announced on Tuesday that U.S. crude oil inventories saw an increase of 4.247 million barrels during the week ending March 7. This figure exceeded analysts’ expectations, who had anticipated a rise of 2.100 million barrels for the same week.
In contrast, the previous week’s data indicated a decrease of 1.455 million barrels. As a result of the inventory report, oil prices experienced a slight uptick on Tuesday.
The West Texas Intermediate (WTI) crude oil for April delivery saw an increase of 22 cents, translating to a rise of 0.33 percent, ultimately closing at 66.25 U.S. dollars per barrel on the New York Mercantile Exchange. Similarly, Brent crude oil for May delivery climbed by 28 cents, or 0.4 percent, concluding the session at 69.56 dollars per barrel on the London ICE Futures Exchange.
These price movements reflect the ongoing fluctuations in the crude oil market, influenced by supply and demand dynamics as well as broader economic indicators. The increase in inventory may suggest a potential oversupply in the short term, leading market participants to closely monitor upcoming reports and developments that could further impact prices.
Overall, the latest data from the API underscores the importance of inventory levels in gauging market trends and potential price movements in the oil sector.