Oil prices steady after falling on signs U.S. may release more reserves

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* Inflation data raises expectations for Fed action

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* Biden: White House focused on cutting energy costs

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* US crude oil stocks rise, fuel inventories fall

SINGAPORE, Nov 11 (Businesshala) – Oil prices were stable on Thursday after falling in the previous session on concerns of rising inflation in the United States, with climbing energy costs prompting the government to release more strategic crude reserves to cushion prices. can be inspired to do.

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On Wednesday, Brent crude futures fell 2.5% and West Texas Intermediate (WTI) futures fell by 3.3% after reports that US inflation rose at the fastest rate in 30 years, pushing the dollar higher and the world’s largest oil market in the US. Raw material pushed. Consumers rose after the government released some strategic reserves.

Brent crude futures were up 18 cents, or 0.2%, to $82.82 a barrel by 0156 GMT, while WTI futures rose 17 cents, or 0.2%, to $81.51.

Consumer inflation data on Wednesday showed US prices were rising 6.2% year-on-year. The dollar rose on hopes that action by the White House and the US Federal Reserve to curb rising prices could lead to higher interest rates and tighter monetary policy. Oil usually trades against the dollar.

US President Joe Biden said he asked the National Economic Council to work to reduce energy costs and the Federal Trade Commission to push for market manipulation in the energy sector to reverse inflation.

Some efforts to cut energy costs could include releasing more crude from the US Strategic Petroleum Reserve (SPR).

“The US has also increased pressure on oil markets, with President Biden asking his economic advisors to explore ways to lower energy prices,” analysts at ANZ Bank said in a note on Thursday.

“There is growing speculation that the US may coordinate the release of the list with other countries such as Japan.”

U.S. crude stocks rose last week with SPR injections, the Energy Information Administration said on Wednesday, while inventories of gasoline and distillates such as diesel fell further.

Crude inventories rose 1 million barrels in the week to November 5, compared with analysts’ expectations for an increase of 2.1 million barrels.

The SPR release was 3.1 million barrels, the largest since July 2017.

Reporting by Jessica Jagannathan; Editing by Christian Schmollinger


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