The Energy Information Administration reported that U.S. crude inventories increased by 2.08 million barrels in the latest week, bringing total crude stocks to 538.6 million barrels.
Analysts had expected a storage build of 2.4 million barrels.
Total motor gasoline inventories decreased by 0.1 million barrels last week, the EIA said, while distillate fuel inventories decreased by 3.6 million barrels.
The figures came a day after industry group the American Petroleum Institute said U.S. crude stocks rose by 3.1 million barrels to 539.5 million last week, against expectations of a 1.6 million barrel increase.
Oil prices tumbled earlier Wednesday as a three day strike by Kuwaiti workers ended, with traders anticipating that the country’s production levels will quickly return to normal.
The nationwide strike in Kuwait removed 1.3 million barrels a day from the market and helped prop up oil prices after major producers failed to agree on an output freeze at weekend talks in Doha.
The end of the strike saw concerns about a global supply overhang return to the forefront.
Oil Storage Report - April 20
Oil Storage Report - April 20
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group