the oil inventories as reported by the US EIA showed an increase in inventory by 2.1 million barrels of crude oil, casting doubt on the economic recovery in the US and resulting in a sharp drop of crude oil prices on the Nymex.
The refinery utilization rate has dropped below 80% amidst rising gasoline inventories and lower utilization of crude oil at refineries.crude oil has stayed in a range between 70 and $82 per barrel. prices are expected to stay under some pressure with good supplies and somewhat stagnating demand. economic activity is picking up in India and China both for manufacturing sector and farming sector. Oil producers are expecting that the expanding economies in Asia will bolster crude prices further.