According to the industry body American Petroleum Institute (API), US crude oil inventories declined by 3.42 million barrels for the week ending September 12. Market was expecting it to decline by 1.6 million barrels during the period.
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Crude oil futures traded lower on Wednesday morning as markets kept a close watch on the US Federal Reserve’s policy decision due later in the day.
At 9.56 am on Wednesday, November Brent oil futures were at $68.35, down by 0.18 per cent, and October crude oil futures on WTI (West Texas Intermediate) were at $64.42, down by 0.15 per cent. September crude oil futures were trading at ₹5,657 on Multi Commodity Exchange (MCX) during the initial hour of trading on Wednesday against the previous close of ₹5,694, down by 0.65 per cent, and October futures were trading at ₹5,645 against the previous close of ₹5,681, down by 0.63 per cent.
A majority of market participants expect US Federal Reserve to reduce interest rates by 25 basis points (bps). However, a few are also hopeful of a 50-bps cut. A reduction in interest rates would help boost the economic activity, leading to the demand for fuels. US is one of the major consumers of crude oil in the world market.
Meanwhile, data released by an industry body showed a decline in US crude oil inventories for the week ending September 12. According to the industry body American Petroleum Institute (API), US crude oil inventories declined by 3.42 million barrels for the week ending September 12. Market was expecting it to decline by 1.6 million barrels during the period. Official data from the US EIA (Energy Information Administration), which is expected to be released later on Wednesday, will give a clear picture on US crude oil inventories for the week ending September 12.
In another development, European Commission President Ursula von der Leyen said the commission would increase economic pressure on Russia through additional measures.
In a post on the social media platform X, European Commission President Ursula von der Leyen said: “I had a good call with @POTUS on strengthening our joint efforts to increase economic pressure on Russia through additional measures. The Commission will soon present its 19th package of sanctions, targeting crypto, banks, and energy. Russia’s war economy, sustained by revenues from fossil fuels, is financing the bloodshed in Ukraine. To put an end to it, the Commission will propose speeding up the phase-out of Russian fossil imports.”
September menthaoil futures were trading at ₹997.20 on MCX during the initial hour of trading on Wednesday against the previous close of ₹1005.20, down by 0.80 per cent.
On the National Commodities and Derivatives Exchange (NCDEX), September cottonseed oilcake contracts were trading at ₹3,030 in the initial hour of trading on Wednesday against the previous close of ₹2,996, up by 1.13 per cent.
October dhaniya futures were trading at ₹8,348 on NCDEX in the initial hour of trading on Wednesday against the previous close of ₹8,306, up by 0.51 per cent.
Published on September 17, 2025