WTI crude falls 2% ahead of US stockpiles data release

Oil prices declined on Wednesday as rising COVID-19 cases in the US and Europe weighed on investor sentiment. Attention was also focused on the developments in the US Gulf of Mexico as Hurricane Zeta forced evacuation of offshore oilfields.

COVID-19 infections are rising in the US, with nearly half a million cases reported in the last seven days. Meanwhile, countries in Europe, including France, are preparing to enforce fresh curbs to keep cases under control.

In terms of trading, Brent crude was down 1.6% at $40.53 a barrel, at 9 am Makkah time.

US West Texas Intermediate (WTI) crude futures slumped 2.1% to $38.75 a barrel.

Meanwhile, US crude oil and gasoline stocks rose last week, with crude inventories rising by 4.6 million barrels in the week ended Oct. 23, according to data from the American Petroleum Institute.

The Energy Information Administration is set to release the official US stockpiles data for last week later today.