Oil price suffers biggest two-day drop since 1991
Petroleum companies are facing the hardest time with its biggest two-day drop in 17 years. Crude oil fell over $4 a barrel on Wednesday. A surprise increase as the government announced and showed the data, especially in The U.S. James Williams, an economist at energy research firm WTRG Economics, said that If there is anything that should keep the bulls in the corral while the bears feed in the berry patch, this EIA report is it.
To compare in the U.S alone crude inventories rose 3 million barrels to stand at 296.9 million barrels in the week ended July 11, the Energy Information Administration reported. Analysts surveyed by energy-information provider Platts were expecting a drop of 3 million barrels. Crude for August delivery closed down $4.14, or 3%, at $134.60 a barrel on the New York Mercantile Exchange, the lowest since June 25. Crude has lost $10.58 over the last two sessions, the biggest two-day price drop since January, 1991. It’s now 8.6% lower than the $147.27 record high hit last Thursday.
