U.S. oil prices resumed their week of lackluster trade amid expectations of higher supplies and lower demand. December WTI crude oil futures traded more than 90 cents lower by the afternoon on Wednesday. Prices pushed back below $60 a barrel, which had held prices up for the past week.

Much of Wednesday’s weakness came after data from the Energy Information Administration showed higher-than-expected increases in domestic inventories. U.S. crude oil inventories rose by 5.2 million barrels last week to 421.2 million barrels, the highest since July. 

U.S. gasoline demand has been weakening, though inventories have also been trending lower due to weaker refining. 

Globally, OPEC+ said they will proceed with another 137,000 barrel-a-day production increase in December. However, the cartel signaled it will pause further increases through the first quarter of next year due to the bearish supply and demand outlook.

Russia’s crude oil exports surged in October due to damage at refinery facilities from Ukrainian air strikes. Shipments last month were the highest since May 2023, according to shipping data tracked by Bloomberg. 

Canadian Prime Minister Mark Carney disclosed a climate budget plan that could potentially scrap a cap on oil and gas emissions, opening the door for more production.

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