Jessica Jaganathan

SINGAPORE, (Reuters) – Oil prices dropped on Wednesday due to a large increase in crude oil stocks and distillate stock in the United States. This is the largest consumer of oil in the world and an increasing pressure on OPEC for more supply.

By 0034 GMT futures declined by 98cs (or 1.2%) to $83.74/barrel. U.S. West Texas Intermediate(WTI), crude futures plunged by $1.32 (1.6%), to $82.59/barrel.

As pressure mounts on OPEC, crude oil prices drop. In a note, analysts from ANZ noted that the U.S. President Biden led major nations’ calls for the group’s increase in production.

Speaking at a summit on climate in Glasgow in June, Joe Biden said that the surge in oil and gasoline prices was due to OPEC’s refusal to import more crude.

Market sources reported that gasoline dropped last Tuesday while the stocks of distillate fuel and distillate fuel rose. [API/S]

The week ended October 29 saw a rise in crude stocks by 3.6million barrels. Sources who spoke under anonymity said that gasoline inventories declined by 5552,000 barrels and that distillate stocks rose by 563,000 barrels.

Reuters analysts polled expected that crude oil inventories would have risen over the past week, according to Reuters.

Later on Wednesday, data from the U.S. Energy Information Administration will be made available.

BP (NYSE -) stated Tuesday that its investment in U.S. shale oils and gas will increase to $1.5 billion by 2022. This is a clear sign that rising prices have encouraged more supply.