Crude ticks up, amid sharply lower build in U.S. weekly inventories - 25 Feb 2016
Crude futures ticked up on a volatile, choppy day of trading, as U.S. crude inventories rose less sharply than anticipated after a report from the American Petroleum Institute hours earlier raised expectations for a massive supply build.
On the Intercontinental Exchange, brent crude for April delivery traded between $32.38 and $34.50 a barrel, before closing at $34.42, up 1.15 or 3.46% on the session. North Brent Sea futures have rebounded by approximately 11% since dropping below $30 a barrel in mid-February. The spread between the international and U.S. benchmarks of crude stood at $2.26, above Tuesday's level of 1.43 at the close of trading.
On Wednesday morning, the U.S. Energy Information Administration (EIA) said in its Weekly Petroleum Status Report that U.S. commercial crude inventories for the week ending on February 19 rose by 3.5 million barrels from the previous week. At 507.6 million barrels, U.S. crude oil inventories are at historically high levels for this time of year.