West Texas Intermediate retreated from the highest price in four weeks before U.S. government data forecast to show crude inventories rose and the Federal Reserve’s decision on the pace of monetary stimulus.
Futures slipped as much as 0.5 percent in New York. Crude stockpiles probably increased by 2.25 million barrels last week, according to a Bloomberg News survey before an Energy Information Administration report today. Inventories advanced by 4.75 million barrels, the industry-funded American Petroleum Institute said yesterday. The Fed, concluding a two-day meeting today, will probably agree to keep scaling back bond purchases, a Bloomberg survey showed.
“Market participants are all awaiting the two important events of the day, U.S. oil inventories and the Fed statement,” said Michael Poulsen, an analyst at Global Risk Management Ltd. in Middelfart, Denmark. “Given the continuously cold temperatures, a build on crude and gasoline and a draw on distillate should be expected. The Fed statement will likely be a non-event.”
Bloomberg
