Oil Inventory Hits an All-Time High; Red Kite Founder Says LME Should Cut Fees

by on
oil derricks
James Thew/Adobe Stock

Oil inventory hit an all-time high after a surprisingly strong last full week of October and a major copper trader said the LME should cut fees.

Oil Inventory Hits an All-Time High

The Energy Information Administration said oil inventory is up by 14.4 million barrels in the week to October 28, reaching 482.6 million barrels. That’s the largest weekly build since the U.S. Energy Department started keeping records in 1982.

Two-Month Trial: Metal Buying Outlook

Oil prices fell after the data, with benchmark U.S. crude futures dropping 3.3%, or $1.57, to $45.12 a barrel, their lowest level since late September. U.S. crude imports jumped by about 2 million barrels per day to just under 9 million bpd, the highest rate since September 2012.

Red Kite Founder Says LME Should Cut Fees

The London Metal Exchange should further cut fees and review rules that may give high-speed traders an unfair advantage, the founding partner of Red Kite Group, Michael Farmer, said on Tuesday.

MetalMiner Price Benchmarking: Current and Historical Prices for the Metals You Buy

Farmer, who has earned the nickname Mr. Copper for his long experience in industrial metals trading, warned that rising fees and high-frequency trading will further cut liquidity on the LME, which has suffered sliding volumes this year.

Leave a Comment

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.