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Crude Oil Prices Fall, Gasoline Stockpiles Jump

Crude oil prices tumbled Wednesday despite industry data showing a large decline in U.S. oil inventories.

The American Petroleum Institute (API) reported a large draw of 5.481 million barrels of United States crude oil inventories for the week ending December 1.

However, gasoline inventories surged by more than 9 million barrels, hinting at dwindling demand from refineries over the next month.

The Energy Information Administration releases the government's official data this morning at 10:30 am ET.

WTI light sweet crude oil was down 60 cents at $56.90 a barrel.

In economic news, US Private-sector employment slowed down in November, as employers added 190,000 jobs Automatic Data Processing Inc. reported. Still, the result was better than forecast and foreshadows a decent jobs report from the Labor Department on Friday.

With the jobs market strong, the Federal Reserve will likely raise interest rates next week, strengthening the dollar and denting commodity prices.

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