HONG KONG: Oil prices fell on Thursday ahead of the release of a closely watched report that is forecast to show a surge in US stockpiles to 33-year high, adding to a global supply glut.
US benchmark West Texas Intermediate fell $1.46 to $50.68 while Brent eased 98 cents to $69.55.
The weekly report by the Energy Information Administration (EIA) is expected to show supplies increased by three million barrels to 420.9 million in the week to through February 13, according to a survey by Bloomberg News.
The figure from the EIA—part of the Department of Energy—would mark the highest in weekly records since August 1982, Bloomberg said.
Ken Hasegawa, energy desk manager at Newedge brokerage in Japan, said the expected jump in stockpiles was “having negative impact on the market” and added that “the declining trend will continue in Asia.”