Oil prices edged up in early trade on Friday, as the markets shook off the API report showing the second straight week of builds in U.S. crude inventory, figures which were later confirmed by the U.S. EIA with their respective official report.
U.S. benchmark WTI crude futures added 18 cents or 0.33% up to $53.95 per barrel after ending 29 cents down at $53.77 per barrel in the prior session. Meanwhile, Brent crude oil futures also rose 12 cents a barrel, 0.21% higher at $56.97 per barrel.
Crude inventories in the week ending on December 23 rose 614, 00 barrels, according to official data from the EIA. This is contrary to the anticipated a 2.1 million barrel decline by the market.
Regardless of the unprecedented increase in crude inventories, the report was still positive due to the significantly smaller increase in crude stocks against the initial estimate from the API report, which indicated a build of 4.2 million barrels.
The material has been provided by InstaForex Company – www.instaforex.com