11.06.2020 WTI Daily Analysis

11.06.2020 WTI Daily Analysis

Oil price drops about 4% to begin the day as worries about the slow demand growth as coronavirus cases rise, with the US crude stockpiles hitting an all-time high. The US West Texas Intermediate (WTI) crude drops 4% ($1.60) to $38 a barrel after being down earlier as low as 4/3% ($1.69). Elsewhere Brent crude futures fell by 3.4% ($1.42) to $40.31 a barrel eliminating Wednesday gains. Unexpected rise of the US crude inventories by 5.7 million barrels in the week leading to June 5 to 538.1 million barrels. This was boosted by the arrival of supplies bought by the refiners when Saudi Arabia flooded the market in March and April. This data was obtained by the Energy Information Administration.