Oil prices slipped on Thursday, continuing losses from the previous session, as reports of rising crude inventories in the United States heightened concerns that global supply is outpacing current fuel demand.
Brent crude futures fell 9 cents, or 0.1%, to $62.62 a barrel by 04:36 AM WAT, following a 3.8% drop on Wednesday. U.S. West Texas Intermediate (WTI) crude declined 11 cents, or 0.2%, to $58.38 a barrel, extending Wednesday’s 4.2% fall.
Market sources, citing American Petroleum Institute (API) data, reported that U.S. crude stockpiles increased by 1.3 million barrels in the week ending November 7, while gasoline and distillate inventories declined.
Prices had already dropped more than $2 a barrel on Wednesday after the Organisation of the Petroleum Exporting Countries (OPEC) forecasted that global oil supplies will slightly exceed demand in 2026, a reversal from its earlier projections of a deficit.
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The expected surplus is attributed to broader production increases by OPEC+, which includes OPEC members and allied producers such as Russia.
Adding to market caution, the US Energy Information Administration (EIA) is set to release official inventory data later Thursday.
In its Short-Term Energy Outlook, the EIA projected that U.S. oil production will hit record levels this year, surpassing previous estimates, and that global oil inventories will continue to rise through 2026 as production growth outpaces fuel demand.
The combined reports have intensified bearish sentiment among investors, putting further downward pressure on oil prices.
