Oil drops more than 2% on U.S. inventories build, demand worries - Reuters

Oil drops more than 2% on U.S. inventories build, demand worries - Reuters:

Oil futures tumbled more than 2% on Wednesday as an unexpected build in U.S. crude stockpiles compounded investor worries that a prolonged trade fight between Washington and Beijing could dent crude demand.

Brent crude futures shed $1.58 a barrel, or 2.2%, to $70.60 a barrel by 1:18 p.m. EDT (1718 GMT). U.S. West Texas Intermediate (WTI) crude futures dropped $2.03 a barrel, or 3.2%, to $61.10 a barrel.

U.S. crude inventories swelled by 4.7 million barrels in the week to May 17 to their highest in nearly two years, the U.S. Energy Information Administration reported. Analysts polled by Reuters had forecast a decrease of 599,000 barrels.