Crude prices plummet as Cushion supplies gain

Crude prices plunged Thursday as report showed the inventories at the delivering point of U.S. crude increased last week.

For the week ending Nov. 7, stockpiles at Cushing, Oklahoma increased 1.7 million barrels to 22.5 million, according to the Energy Information Administration (EIA).

Nationwide crude stockpiles in the United States decreased 1.7 million barrels to 378.5 million.

The uncertainty about the Organization of Petroleum Exporting Countries (OPEC) continued to weigh on the crude prices.

OPEC will hold its next production meeting in Vienna on Nov. 27. The organization pumps a third of the world's crude.

OPEC members recently resisted calls to cut production. Ali al- Omair, Kuwait's Minister of Oil said Monday in Abu Dhabi that he did not expect OPEC to make any production cut in the meeting.

In its short term energy outlook report Wednesday, EIA listed the causes of recent price plunge as weakening prospect for global economic and oil demand growth, the return to the market of previously disrupted Libyan crude oil production, and continued growth in U.S. tight oil production.

EIA said there is significant uncertainty over the crude oil price forecast because of the range of potential supply responses from the OPEC, particularly Saudi Arabia.

Light, sweet crude for December delivery moved down 2.97 dollars to settle at 74.21 U.S. dollars a barrel on the New York Mercantile Exchange, while Brent crude for December delivery lost 2.46 dollars to close at 77.92 dollars a barrel.