After two weeks after the sharp rebound in international oil prices began to callback. 29 U.S. commercial crude oil inventories increase in accidents in New York and other factors affect the market price fell to 63.35 U.S. dollars a barrel nearly 6 percent decline in three months hit the biggest one-day decline.
Some analysts believe that although international oil prices at the same time facing pressure from the United States back to the recent introduction of restrictions on the energy futures market speculation of the plan is the promotion of international prices into a nosedive, reasons. However, weak demand is restricting oil prices a major factor in the impulse.
Few months to stabilize the financial markets, as well as with the U.S. dollar fell some investors and financial institutions to return to commodity futures markets. In a variety of factors, oil prices have been stimulated by low prices than in the first half more than doubled. However, significant increases in international oil prices each time accompanied by the voices questioning the reality of weak demand has been restricting the rise in oil prices.
29 U.S. Department of Energy's Energy Information Administration's weekly inventory report showed that ended July 24 the week the United States commercial crude oil inventories increased by 5.1 million barrels per day in April this year the largest increase since the previous far more than analysts expected . Current U.S. commercial crude oil inventories totaled 3.478 million barrels in excess of 5-year average of 9.5 percent over the same period.
Bache Commodities broker Christopher Senior al-lu said: "The increase in inventories of crude oil needs to remind us it is still very weak fundamentals. Find it difficult to maintain the short term oil prices in the top 70 U.S. dollars a barrel, especially taking into account the high weak oil prices may affect the prospects for economic recovery. "
World's top energy consumer the United States, the economic crisis has not yet bottomed out. Americans as a result of high unemployment continue to "tighten their belts." From the consumer confidence index fell for a few months can be seen in the fact that Americans do not have a strong will of the consumption of energy consumption is still not yet returned to normal levels.
Energy Information Administration data showed U.S. retail price of gasoline over the same period in 2008 dropped by about 37% but petrol is still below last year's level of demand. According to the previous day of gasoline this summer is expected there will be no significant increase in demand will remain at 9.16 million barrels per day to between 9.2 million barrels per day. This shows that even in the traditional peak season driving the American people in times of economic downturn and unemployment will increase control of driving under the weight of travel.
   Weak demand, high inventories against the backdrop of major U.S. refineries had to reduce the operating rate to maintain the huge profits does not mean oil is also one of the reasons for the increase in inventory. Bank of America - Merrill Lynch global head of commodities research Franciscopointed out that a large number of crude oil entered the stock market has oversupply This shows that oil prices may continue to fall.
U.S. energy and economic strategyresident of research firm also believes that the market's biggest problem is too much crude oil inventories. He believes that long-term maintenance of international oil prices to high inventory must first be digested. (Yu 1000)