Oil prices down on EIA report

Oil prices were down on Thursday in Asia after the Energy Information Administration (EIA) said stockpiles of US oil rose more than expected last week.

US Crude Oil WTI Futures dropped 1.1% to $52.78 by 1:30 AM ET (05:30 GMT), while international Brent Oil Futures also fell 1.1% to $58.27.

Oil inventories rose by 3.5 million barrels for the week ended Jan. 24, the EIA said. Analysts predicted a build of 482,000 barrels, according to forecasts compiled by Investing.com.

Gasoline inventories were up by 1.2 million barrels, compared with forecasts for a rise of 1.3 million barrels. Distillate stockpiles fell by 1.3 million barrels, versus consensus expectations for a draw of about 1.1 million barrels.

Also weighing on oil prices this week were continuing worries about the new virus in China. Death toll has climbed to 170, data from authorities showed today, as more airlines cancelled flights to China’s major cities.

The World Health Organisation’s Emergency Committee is set for another meeting later on Thursday to reconsider whether the rapid spread of the virus should now be called a global emergency.