Crude Oil Steady Despite Huge Surge in Inventory

November Crude Oil futures are trading nearly flat at $45.29 after the release of the latest U.S. Energy Information Administration’s weekly inventory report. According to the EIA, crude inventories rose by 4 million barrels in the week-ending September 25. Analysts were looking for an increase of 102,000 barrels.  Crude stocks at the important Cushing, Oklahoma delivery hub fell by 1.068 million barrels.

Gasoline stocks were up 3.3 million barrels. Traders had priced in a 40,000 barrel decrease.

For the month, West Texas Intermediate crude is set to finish about 11 percent lower. Brent crude oil is headed for a decline of about 9 percent this month.

A rise in the U.S. Dollar and the strong possibility of a Fed rate hike this year, helped drive December Comex Gold futures sharply lower. The market was done over one-percent on Wednesday and is set to finish the quarter nearly 5 percent lower.

January Platinum is also headed to its biggest quarterly loss in seven years, reaching a low not seen since December 2008. Fears of a drop in demand for diesel cars in the wake of the Volkswagen emissions scandal is the catalyst behind the selling pressure.

Platinum supply continues to build because of a slowdown in jewelry demand from China. In addition, South African producers have been flooding the market with platinum to help improve cash flow.

The EUR/USD was under pressure on Wednesday after data showed Euro Zone inflation fell back into negative territory in September. The news raised speculation that the European Central Bank may have to expand or extend its asset purchase program.

Euro Zone consumer inflation fell by 0.1 percent on an annual basis in September after rising 0.1 percent last month. Traders were looking for a zero reading. The ECB’s target is just under 2 percent.

The GBP/USD posted an outside move, but still managed to trade lower after an early session rally failed. The U.K. Current Account came in at -16.8 billion versus an estimate of -22.2 billion. U.K. Final GDP came out as expected at 0.7%.

In U.S. news, the September ADP private sector jobs report showed the economy added 200K new jobs. Traders were looking for a reading of 192K. Chicago PMI was lower than expected at 48.7.

Fed Chair Janet Yellen is scheduled to speak at 3:00 p.m. ET. Traders will be listening for information about the timing of the Fed rate hike. Late last week, Yellen said she anticipates the Fed will raise rates by the end of the year.