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Jakarta (Benchmark News) – oil prices reversed early gains into lower ends on Tuesday (1/11/1999), due to concerns about rising U.S. crude supplies hit the market.
Oil prices initially surged on Tuesday, as the U.S. dollar weakened to make oil in dollar denomination more attractive for holders of other currencies.
The dollar index, which measures the greenback against six major currencies, dropped 0.77 percent to 97.685 at the end of trading Tuesday.
However, the price of oil plummets into the red area around noon because of worries about rising US crude oil stockpiles outweighed the impact of the weakening u.s. dollar.
Analysts predict that US crude oil stockpiles rose more than one million barrels last week, after a decline not in due season in seven of the last eight weeks, according to Reuters.
The U.S. Energy Information Agency will officially release a report weekly oil inventories on Wednesday afternoon.
The benchmark us light sweet crude or West Texas Intermediate (WTI) for December delivery down us dollar 0.19 became settled in 46.67 u.s. dollars a barrel on the New York Mercantile Exchange.
Meanwhile, the global benchmark, Brent North Sea crude oil for delivery in January dropped 0.47 u.s. dollars to close at 48.14 u.s. dollars a barrel on London’s ICE Futures Exchange…(Red)
