Oil Falls Amid Demand Risks And a Smaller-Than-Expected Drop in Inventories

Oil prices fell on Thursday, August 20, as major producers warned of a threat to recover demand if the Coronavirus crisis continues for a long time, while US crude stocks fell less than expected.

By 07:32 GMT, Brent crude was down 34 cents, or 0.8%, to $ 45.03 a barrel. US crude fell 36 cents, or 0.8%, to $ 42.57 a barrel.

The US Energy Information Administration said that crude oil inventories in the United States fell for the fourth consecutive week, even as net imports rose. But the drop of 1.6 million barrels in the week to August 14 fell short of expectations in a Reuters poll that indicated a decline of 2.7 million barrels.

The demand for fuel has decreased by 14% compared to the same period last year over the past four weeks, according to US Energy Information Administration data.