Crude oil futures ended lower on Wednesday on concerns about the outlook for demand after data showed another contraction in Chinese manufacturing activity. Further, oil prices also fell as data from U.S. Energy Information Administration (EIA) showed crude oil inventories in the U.S. increased by 1.2 million barrels last week (January 26). Gasoline stockpiles increased by 1.2 million barrels last week, while distillate stockpiles dropped by 2.5 million barrels in the week.
Benchmark crude oil futures for March delivery dropped $1.97 or 2.5% to settle at $75.85 a barrel on the New York Mercantile Exchange. Brent crude for March delivery fell $1.16 or 1.4% to $81.71 per barrel on London's Intercontinental Exchange.