NYMEX and Brent slump after sharp US market soar overnight
On Thursday, crude oil prices dropped during Asia trade right after steep overnight gains on a dip in American stockpiles with demand prospects going forward because the outlook for global growth is lackluster considering the previous week’s Brexit.
In New York, August delivery WTI crude futures sagged 0.8%, hitting $49.48 per barrel. At the same time, Brent crude futures went down 1.03%, trading at $50.79 per barrel.
Overnight, crude futures soared by 4%, as Brexit worries took a backseat for the time being after American oil inventories sagged abruptly last week, thus helping to ease long-term concerns of oversupply.
On Wednesday, the U.S. Energy Information Administration announced in its Weekly Petroleum Status Report that American commercial crude oil inventories tumbled by approximately 4.1 million barrels last week by June 24.
Financial analysts firstly expected a descend of 2.365 million barrels, before adjusting hopes, following a report of a 3.9 million barrel draw by the American Petroleum Institute, Tuesday evening.