Oil prices fell on Wednesday after earlier shrugging off a report from the U.S. Energy Information Administration that showed the nation's crude inventories rose and gasoline stocks increased sharply.
Futures fell early in the day after builds in U.S. inventories reinforced expectations that increasing shale output this year would reduce the impact of production cuts by OPEC and other major exporters. However, they turned positive after the EIA report amid market strength.
Again Capital founding partner John Kilduff said there was little to cheer in the report, but oil futures can't fight the strength on Wall Street on a day when the Dow crossed 20,000 for the first time ever and markets were broadly higher.
"It was a very bearish report, and it's a cloud over this market, but it's no asset class left behind at the moment," Kilduff said.