“West Texas Intermediate oil fell, trimming its ninth weekly gain in 10 weeks. Open interest for the U.S. benchmark grade rose to a record while a report signaled OPEC will cut crude shipments this month.
WTI fell as much 0.7 percent in New York, paring its advance this week to 1.2 percent. Prices gained 0.3 percent yesterday as the number of contracts outstanding rose to the highest level since the futures began trading on the New York Mercantile Exchange in March 1983. OPEC will cut exports by 0.9 percent this month, according to a tanker tracker. Data on U.S. industrial production later today is forecast to show a third- straight month of expansion.
“Fundamentals are acceptably balanced for now,” said Michael Poulsen, an analyst at Global Risk Management Ltd. in Middelfart, Denmark.
Crude for March delivery declined as much as 70 cents to $96.61 a barrel in electronic trading in New York and was at $96.83 at 12:52 p.m. London time. The volume of all futures traded was 32 percent above the 100-day average. Prices are 5.5 percent higher this year.
Brent for April settlement fell 38 cents to $117.62 a barrel on the London-based ICE Futures Europe exchange. The volume of all futures traded was 25 percent below the 100-day average. The European benchmark grade was at a premium of $20.19 to WTI futures for the same month. The difference was $20.10 yesterday, the narrowest since Feb. 5.
