US oil inventories drop more than expected

Crude futures slumped further after data revealed an expectedly large build in US oil stocks in the latest week, compared to analysts´ forecast for a draw.

Commercial US oil inventories rose by 4.8m barrels over the five days ending on 11 December to reach 490.7m, according to the Energy Information Administration, the Department of Energy´s statistical arm.

In an initial reaction, as of 15:35 front month Brent oil futures were 3.0% lower to $37.35 per barrel in ICE trading and the prompt-month West Texas Intermediate contract was down 3.37% to $36.10 per barrel.