June WTI crude oil (CLM25) Wednesday closed down -2.21 (-3.66%), and June RBOB gasoline (RBM25) closed down -0.0393 (-1.91%).
Crude oil and gasoline prices on Wednesday extended this week’s sharp losses, with crude sinking to a 3-week low and gasoline tumbling to a 2-week low. Concerns about global energy demand are undercutting crude prices after the US economy in Q1 contracted by the most in 3 years, and China’s manufacturing activity this month contracted by the most in 16 months. Also, Wednesday’s stronger dollar was bearish for energy prices. Losses in crude accelerated Wednesday after Reuters reported that Saudi Arabian officials have been telling allies and industry experts that it can endure a sustained period of depressed prices. Crude prices remained lower even after weekly EIA crude and gasoline inventories fell more than expected.
