Drop in US Oil Inventories

Oil prices rose, supported by a new drop in US crude stocks and a weak dollar, despite the oversupply of refined products and concerns about economic growth.

Crude oil prices were influenced by the American Petroleum Institute, which showed a decline in inventories by 6.7 million barrels to 520.9 million barrels in the week that ended on the first of July.

According to the report, the Crude consumption in refineries fell by about 170 thousand barrels per day. Gasoline stocks fell 3.6 million barrels, while analysts predicted in a poll conducted by “Reuters” decline of 353 thousand barrels.

US crude oil imports declined last week by 351 thousand barrels per day to 7.2 million barrels per day. Analysts pointed out that the decline in the value of the US currency is considered one of the reasons for high oil prices.

Fatih Birol, Head of the International Energy Agency “IEA”, announced on July, 07 that the global economy’s dependence on Middle East oil is increasing.

Birol said in an interview with “Financial Times”: “The Middle East is the first source”. Middle East Countries are producing currently 34% of the world’s oil, while the estimates of the International Energy Agency are about 31 million barrels a day in these countries.

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