Oil rates decline after unexpected rise in US crude, gasoline inventories

(MENAFN) Oil prices declined in early Asian trading on Wednesday following a brief recovery in the previous session. This drop came after data revealed an unexpected rise in U.S. crude and gasoline inventories, counterbalancing concerns about global oil supplies.

By 0020 GMT, Brent crude futures had decreased by 21 cents, or 0.27 percent, to USD76.27 a barrel. U.S. West Texas Intermediate crude fell by 25 cents, or 0.34 percent, to USD72.95 a barrel, according to a UK news agency.

Market sources, referencing the American Petroleum Institute's figures from Tuesday, reported that U.S. crude, gasoline, and distillate stockpiles increased last week.

Both benchmarks dropped in response. U.S. crude and Brent crude had previously rebounded from multi-month lows to close higher in the last session.

The anonymous sources stated that the American Petroleum Institute's data showed crude inventories increased by 176,000 barrels in the week ending August 2. Analysts surveyed by the news agency had anticipated a decrease of 700,000 barrels.

Gasoline stocks rose by 3.313 million barrels, contrary to analysts' expectations of a 1 million-barrel decrease, while distillate stocks increased by 1.217 million barrels, a larger-than-expected rise.

The U.S. Energy Information Administration is scheduled to release its weekly inventory data at 1430 GMT on Wednesday.

Iran has vowed revenge on Israel following the assassinations of Hamas's political chief in Tehran and a senior commander of Lebanon's Hezbollah militia in Beirut, escalating fears of a broader conflict in the Middle East.

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