WTI oil price trades near $87 amid rising US oil supplies

27 January 2011 27 January 2011

BonTrade

WTI oil prices open today’s trading session back around $87 a barrel after losses earlier this week saw the WTI to Brent price spread widen to an all time high, while the US Department of Energy showed American oil stockpiles rose by 4.8 million barrels last week.

Latest WTI Oil Price

US Light crude oil futures for March 2011 delivery was trading at $86.64 a barrel, 08.20 GMT this morning on the NYMEX.

US Oil Supplies Back Higher

US WTI oil supplies moved higher after the biggest weekly jump in three months, larger than the 900,000 barrel build analysts had been expecting, and marked a key reversal in the direction of US stockpiles after a string of declines in December 2010.

Oil traders are betting that the oil supply situation in the rest of the world may be tighter than in the US, sending Brent crude oil futures, the benchmark used for Europe and Asia, back towards recent highs above $98 a barrel on the ICE Futures Exchange.