Crude falls $3/bbl on high stocks forecast

19 March 2008 14:39  [Source: ICIS news]

LONDON (ICIS news)--Crude oil prices fell by more than $3/bbl on Wednesday afternoon, as expectations that the Energy Information Administration would report another large build in crude oil stocks.

By 14:00 GMT, May ICE Brent crude had hit a low of $102.45/bbl, down $3.11/bbl from yesterday’s close. Similarly, NYMEX light sweet crude futures reached a low of $105.90/bbl, down $3.52/bbl.

The falls surprised the markets after the US Federal Reserve trimmed its base rate on Monday by 0.25% and again on Tuesday by 0.75%.

The reductions of its base rate were intended to stimulate the US economy to avert a recession and provide greater confidence in the financial markets.

By: Kawai Wong
+44 20 8652 3214

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly