Stronger dollar, abundant supplies hit values

摘要

Crude prices fell on a strengthening dollar and plentiful supplies. US marker WTI shed $1.41/bl to reach $64.15/bl in the week to 5 February, while Ice Brent fell by $1.84/bl to $67.62/bl. The dollar rebounded against a basket of currencies on the prospect of US interest rate increases. A stronger dollar undermines commodities that trade in the currency such as oil. Steady Russian output weighed further on a market already under pressure from rising production in the US, particularly in the Permian basin that straddles Texas and New Mexico. And US crude stocks rose by nearly 7mn bl to 418mn bl in the week to 26 January, their first build since early November, as refinery runs fell and amid steady production, EIA data show.