FXStreet (Edinburgh) – Prices for the barrel of West Texas Intermediate are markedly lower on Wednesday, falling to fresh multi-year lows in the mid-$40.00s.

WTI slumped post-EIA report

Crude oil prices nose-dived after the EIA has reported an unexpected increase in crude oil stockpiles, this time by 2.62 million barrels vs. forecasts for a drop of 0.400 million barrels in the week ended on August 15th.

The raise in inventories adds to the ongoing jitters on the potential slowdown in the Chinese economy, the global supply glut and the prospects of increasing output from the OPEC.

WTI levels to watch

At the moment WTI is losing 4.43% at $40.73 facing the next support at $40.00 (psychological mark) ahead of $34.03 (monthly low February 2009). On the upside, the initial hurdle lies at $46.94 (high Aug.3) followed by $48.62 (high Jul.31) and finally $49.52 (high Jul.29).

Prices for the barrel of West Texas Intermediate are markedly lower on Wednesday, falling to fresh multi-year lows in the mid-$40.00s…

(Market News Provided by FXstreet)

By FXOpen