Brimming U.S. oil storage tanks to feel OPEC cuts last

An oil derrick and wind turbines stand above the plains north of Amarillo, Texas, U.S., March 14, 2017. The energy industry scrutinizes U.S. oil stockpile data every week for evidence that OPEC supply cuts are ending a global crude glut, but growing domestic output means the world’s largest oil consumer may be the last place to feel the cuts. Stubbornly high U.S. inventory levels have shaken market confidence that a deal by the Organization of the Petroleum Exporting Countries (OPEC), Russia and other top producers to cut 1.8 million barrels per day (bpd) from supply will end the two-year glut. This week, benchmark Brent crude prices slipped below $50 a barrel. Brent has given up all the gains made since the supply cuts were agreed late last year. [O/R] U.S. inventories are a trusted barometer for the health of global oil markets because of the transparency of the data […]

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