Crude Futures Lower Ahead of Inventories Report

Oil futures are lower as the market awaits the U.S. crude and products inventories report from the EIA, due at 10:30 a.m. EST. “We suspect the decline is mostly technical,” says Peter Cardillo, chief market economist at Spartan Capital, noting that the API on Tuesday reported a 2.5 million barrel draw on crude stocks. Analysts in a Wall Street Journal survey predict a draw of 800,000 barrels last week for both crude oil and distillates, and a 1.4 million-barrel increase in gasoline stocks. WTI for March delivery is off 1.1% at $76.99 a barrel, and March Brent, which expires today, is down 1% at $82.03.