Oil prices slipped today, due to concerns about increasing supplies from the US and a weak outlook for global demand growth.
Brent crude slipped by 20 cents to $102.40 a barrel, while US oil fell by 12 cents to $94.09, reported Reuters.
Brent has declined by nearly 14% from its 2013 high as demand in China weakens and stockpiles in the US hit record levels.
The International Energy Agency (IEA) said that increasing US shale oil production will meet most of the world’s new demand in the next five years, even if the global economy gains momentum.
The energy body said that OPEC’s (Organization of the Petroleum Exporting Countries) additional capacity will increase by more than a quarter to reach 6.4 million bpd, or 6.6% of global demand.
The increase was led by a rise of more than 750,000 barrels in Midwest stockpiles, while crude stockpiles at the Cushing, Oklahoma, hub for the US oil futures contract rose more than 540,000 barrels for the week.
Image: As demand in China weakens and stockpiles in the US hit record levels, Brent dropped nearly 14% from its 2013 high. Photo courtesy of freedigitalphotos / dan.