Investing.com – Oil prices steadied on Thursday morning in Asia as U.S. crude stock rose to its highest level in 11 months, putting pressure on oil prices. The market expects OPEC to cut output, easing market fears of an oversupply.
Crude Oil WTI Futures for January delivery remained at $54.34 a barrel at 11:36PM ET (03:36 GMT) on the New York Mercantile Exchange, while Brent Oil Futures for January delivery stood at $63.15 on London’s Intercontinental Exchange.
According to U.S.’ Energy Information Administration, U.S. commercial crude oil stocks surged by 4.9 million barrels as of Nov. 16 to 446.9 million barrels from the previous week, marking the highest level since December 2017.
“U.S. inventory data…continued to show significant supply builds, which comes on the back of sustained record U.S. crude oil production,” Stephen Innes, head of trading for Asia-Pacific at futures brokerage Oanda, told Reuters.
The country cut three oil rigs to a total of 885 as of Nov. 21, while neighboring Canada added six oil rigs, reaching 124 in total, data released Wednesday by energy services firm Baker Hughes showed.