Crude Oil Futures Fall in New York on Bullish Crude Supply Report

Crude oil futures fall in New York on bullish crude supply report

NEW YORK, Aug. 3 (Xinhua) — Crude oil prices fell sharply Wednesday after a government report showed US inventories of crude oil and distillate fuel increased for last week.

On the New York Mercantile Exchange, light, sweet crude oil futures for September delivery dropped 1.03 dollars to end at 60. 86 dollars a barrel. Meanwhile, London Brent crude-oil futures for September delivery fell 97 cents to settle at 59.65 dollars per barrel.

The Department of Energy said that US inventory of crude oil rose by 200,000 barrels last week, putting the supply at 318 million barrels, or 8 percent above last year. The supply of distillate fuel, a category that included heating oil and diesel, also rose by 1.5 million barrels to 127.3 million, or 5 percent higher than last year’s level. But the government report showed a 4 million-barrel decline in gasoline stockpiles, putting gasoline supply at 205.2 million barrels, or 3 percent below last year’s level.

Analysts said market’s concern was that refineries in the United States were running hard when gasoline demand picked up. The potential for more supply disruptions also overshadowed the market as the National Weather Service expected more tropical storms affecting the US.