Oil Takes Biggest Drop of Year as Supplies Rise
Oil took its biggest drop of the year Wednesday, declining almost $3 per barrel following a Department of Energy report that showed inventories rose to the highest level since 1990, Bloomberg News reported.
Crude futures fell $2.74 to finish at $94.45 a barrel on the New York Mercantile Exchange. Futures had closed over $97 in each of the past three trading days.
DOE reported Wednesday that crude supplies rose 2.7 million barrels last week — more than the 2.1 million-barrel increase forecast by analysts, Bloomberg said.
Oil supplies rose to 388.6 million barrels last week, the highest level since 1990, Bloomberg reported, citing DOE figures.
Gasoline supplies fell 570,000 barrels for the week ended Friday, while distillates, which include diesel, fell by 2.3 million barrels, DOE said in its weekly report.
Analysts had forecast gasoline supplies would decline by 1 million barrels and distillates would drop by 1.1 million barrels, Bloomberg reported.
