Oil Drops as U.S. Inventories Optimism Gives Way to Trade Gloom - Bloomberg

Oil Drops as U.S. Inventories Optimism Gives Way to Trade Gloom - Bloomberg:

Oil snapped a two-day gain as investors weighed a sizable drop in U.S. inventories against a trade war that shows few signs it will be resolved.

Futures in New York dropped as much as 0.6% after rallying 4% over the previous two sessions. U.S. stockpiles fell by 10 million barrels last week to the lowest since October 2018, the Energy Information Administration reported. Treasury Secretary Steven Mnuchin said Wednesday that U.S. trade officials expect Chinese negotiators to visit Washington, but he wouldn’t say whether a previously planned September meeting would take place.