Oil slides on US stockpile build and demand fears | Financial Times

Oil slides on US stockpile build and demand fears | Financial Times:

Crude prices renewed their recent slide on Wednesday, as traders weighed the outlook for supply after closely watched US data showed a surprise build in domestic stockpiles.

Brent crude tumbled 3.7 per cent to $59.97 a barrel, its first close below the $60 mark since January, leaving the benchmark on track for its fourth consecutive weekly fall. West Texas Intermediate sank 4 per cent to $51.14, bringing the US marker into a fresh bear market — a drop of more than 20 per cent from its April peak.

Numbers released this week showing a rise in US inventories brought concerns of a supply glut back to the forefront. The Energy Information Administration said US crude inventories rose 2.2m barrels to 485.5m, bucking forecasts for a decline of 481,000 barrels, according to Reuters. Gasoline stocks grew slightly more than expected, sending futures in New York more than 4 per cent lower.