Global Crude Oil prices fell by 1 per cent on Wednesday, mainly due to rising U.S. inventories and a plunge in global stock markets amid concerns over an economic slowdown. The recent downtick in crude oil prices comes after the biggest 2 days gain at oil prices since June, wiping out much of the recovery.
U.S. West Texas Intermediate (WTI) crude futures were at $52.61 per barrel, down 64 cents, or 1.2 per cent, from their last close. International Brent crude oil futures were down 56 cents, at $61.52 per barrel posting 0.9 per cent downfall.
According to reports, a weekly report from the American Petroleum Institute (API) caused the downfall in the crude oil. As per the report, U.S. crude inventories rose by 5.4 million barrels in the week to Nov. 30, to 448 million barrels, signalling an expanding glut in the crude oil market.
There are two key factors that will further determine the international crude oil prices in the upcoming days, primarily being the OPEC meeting that is scheduled to take place on 6 December 2018 in Vienna, Austria. And the other is the outcome of the 90 days truce in the ongoing trade war between the United States and China.