SF: Crude Oil Futures Fall for Second Day as U.S. Stockpiles Rise
June 23 (Bloomberg) -- Crude oil declined for a second day after an industry report showed that stockpiles increased in the U.S., the world's largest energy-consuming country.
Inventories of crude oil rose 3.69 million barrels last week, the biggest gain since April, the American Petroleum Institute said yesterday. Supplies of gasoline and distillate fuel, a category that includes heating oil and diesel, also gained. An Energy Department report today will probably show that crude stockpiles declined, a Bloomberg News survey showed.
"The API numbers yesterday were pretty negative," said Tom Bentz, a broker at BNP Paribas Commodity Futures Inc. in New York. "The build in crude was pretty big, especially when compared with expectations."
Crude oil for August delivery fell $1.09, or 1.4 percent, to $76.76 a barrel at 9:15 a.m. on the New York Mercantile Exchange. The July contract dropped 61 cents, or 0.8 percent, to settle at $77.21 yesterday, the day it expired.
Brent crude oil for August delivery dropped 33 cents, or 0.4 percent, to $77.71 a barrel on the London-based ICE Futures Europe exchange.
The Energy Department will report that U.S. crude oil inventories fell 800,000 barrels in the week ended June 18 according to the median estimate from 15 analysts surveyed by Bloomberg News. The report is scheduled for release at 10:30 a.m. in Washington.
Gasoline stockpiles slipped 180,000 barrels, the survey showed. Distillate inventories probably rose 1.5 million barrels.
The International Energy Agency, an adviser to oil- consuming nations, said in a report today that growth in world oil demand will slow in the next five years as the pace of Chinese consumption moderates.
--With assistance from Alexander Kwiatkowski in London. Editors: Joe Link, Richard Stubbe