Oil is cheaper on the API data about growth of stocks in the United States

© RIA Novosti / Ilya Petliurite in photobacteria oil. Archival photoOil is cheaper on the API data about growth of stocks in the United States© RIA Novosti / Ilya Petliurite the image Bank

The price of oil is dropping on Wednesday morning, as investors recoup data from the American petroleum Institute (API) on the growth of reserves of «black gold» in the United States, according to the auction.

As at 7.39 GMT the cost of the August futures for North sea petroleum mix of mark Brent has decreased on 0,86% to 48.30 dollars per barrel. The price of July futures for WTI decreased by 1.01% to from 45.99 USD per barrel.

According to the report of API, oil stocks in the U.S. for the week to 9 June unexpectedly rose by 2.75 million barrels to 511,4 million barrels. The analysts expected reduction of stocks by 2.7 million.

At the same time support the decline in oil prices data the June report, OPEC to increase oil production of the countries of the organization for 336,1 thousand barrels per day compared to April to 32,139 million barrels per day. «Expectations (prices — ed.) of oil is dependent upon the effectiveness of reductions in OPEC production and rising stockpiles in the USA», — quotes Reuters the words Rivkin Securities analyst William O Locklin (William O’loughlin).

OPEC and a number of not members of the organization countries agreed in late 2016 in Vienna on the reduction of its oil production to total 1.8 million barrels per day from October levels, of which 300 thousand are in Russia. The agreement was concluded for the first half of 2017 with possibility of extension. In may, its validity was extended for nine months until the end of March 2018.

Market participants now await the release later in the data environment US Department of energy on stocks of «black gold» in the country. According to analysts, commercial oil stocks in the country (excluding strategic reserves) for the week ended June 9, dropped to 2,995 million barrels, or by 0.58% to 510,205 million barrels.