Oil Retreats as Surprise Jump in U.S. Stockpiles Hints at Glut - Bloomberg

Oil Retreats as Surprise Jump in U.S. Stockpiles Hints at Glut - Bloomberg:

Oil retreated for the second day in a row after U.S. crude stockpiles ballooned, casting a shadow over OPEC’s efforts to avert a global glut.

Futures in New York closed 0.6 percent lower on Wednesday after the U.S. Energy Information Administration said domestic oil inventories grew by 7.07 million barrels, exceeding every estimate in a Bloomberg survey. A larger-than-expected draw-down in refined products eased some fears about demand but wasn’t enough to bolster the market.

Crude prices rallied more than 25 percent through mid-February as the Organization of Petroleum Exporting Countries and its partners curbed output. But the rally’s stalled since then, as traders fretted about a fragile global economy and the U.S.-China trade spat. The Organization for Economic Cooperation and Development trimmed its growth outlook earlier in the day.