Oil declines after US inventory data

Oil drilling rigs

Oil prices declined in early session today, Feb. 15, after official data revealed that US crude stocks rose more than expected last week, which reinforced investors' concerns about weak demand.

Brent crude was trading down 0.38% at $81.66 a barrel, at 09:20 am Makkah time. West Texas Intermediate (WTI) crude fell 0.44% at $76.30 per barrel.

Data from the US Energy Information Administration showed that oil inventories in the US increased by 12 million barrels last week, exceeding expectations for a rise of 3.3 million barrels.

Analysts stated that the weekly decline in US oil inventories is largely due to a fall in refining rates, especially with the decrease in production from the Whiting refinery affiliated with British Petroleum in Indiana by 435,000 barrels per day as a result of continued maintenance work, in addition to some other refineries, Reuters reported.