London: World oil prices dipped Thursday as traders awaited official data on the size of US crude stockpiles, a key indicator of oil demand in the United States.
The US Energy Information Administration report is closely read by investors for clues about demand in the world’s biggest energy consumer.
A rise in inventories typically signals weaker demand and tends to depress oil prices.
The official report is being released a day later than usual because of the US Veterans Day holiday on Wednesday.
Prices had already tumbled Wednesday after a report by the American Petroleum Institute showed US commercial crude inventories had jumped by more than six million barrels.
The official EIA report “will provide vital clues for the near term price development”, said EY analyst Sanjeev Gupta.
At about 1230 GMT, US benchmark West Texas Intermediate for delivery in December was down 11 cents at $42.82 a barrel.
Brent North Sea crude for December lost 22 cents to $45.59 a barrel in London midday deals compared with Wednesday’s close.
Gupta said traders were setting their sights on a policy meeting of the Organisation of the Petroleum Exporting Countries due early December.
OPEC’s decision to maintain high output levels despite a global crude supply glut has contributed to prices plunging by more than 50 per cent from more than $100 a barrel in mid-2014.
