Oil prices flat with traders looking out for US data, Chinese stimulus details

Investing.com -- Oil prices wavered around the flatline on Thursday as investors looked ahead to the release of official US oil inventory data and watched out for more details on China's stimulus plans.

By 09:53 ET (13:53 GMT), Brent oil futures were mostly unchanged at $74.22 a barrel and West Texas Intermediate crude futures were broadly flat at $69.85 per barrel.

Both contracts have fallen sharply over the past week, with losses intensifying in recent sessions after two major industry groups cut their outlook for demand growth. Reports of a less severe escalation in tensions between Israel and Iran have also weighed on oil prices.

Among a host of upcoming financial data are US oil inventory numbers, with official government data from the Energy Information Administration due out at 11:00 ET (15:00 GMT). On Wednesday, data from the American Petroleum Institute showed that US oil stockpiles fell by 1.58 million barrels in the week to October 11, against expectations for a build of 3.2 million barrels.

Outside of the US, underwhelming signals on stimulus in China have dented oil, as Beijing has provided few details on the timing and scale of recently unveiled fiscal measures. Most recently, a briefing on Thursday from the country's housing ministry on plans to aid China's sputtering real estate market disappointed investors.

Elsewhere, the European Central Bank slashed interest rates at a second consecutive meeting, noting that the inflation outlook is increasingly under control and economic indicators are weakening. The reduction could give some support to oil prices as cheaper borrowing costs can theoretically boost demand.

(Ambar Warrick contributed reporting.)

Source: Investing.com