On Thursday, oil prices declined due to data released by the American Petroleum Institute (API), showing an increase in the US stocks last week, Interfax reports.
Concerns on the possibility of global oil demand decrease are climbing amid outbreaks of a new type of coronavirus in China previously detected in Europe.
The cost of March Brent oil futures on the London ICE Futures exchange on Thursday is $55.88 per barrel, which is $0.2 (0.36%) below the price at the previous session's close. As a result of trading on January 20, these contracts went up by $0.18 (0.3%) to $56.08 per barrel.
The price of futures for WTI crude oil for March in electronic trading on the New York Mercantile Exchange (NYMEX) is $53.09 per barrel, which is $0.22 (0.41%) below the level at the close of the market on Wednesday. The day before, futures rose in price by $0.33 (0.6%) up to $53.31 per barrel.
According to API data, US oil stocks increased by 2.56 million barrels last week.
"New restrictive measures in the PRC are putting pressure on the outlook for global oil demand, as Chinese demand has been one of the foremost drivers of enhancing fundamentals for the oil market," said Third Bridge analyst Peter McNally.