Oil fell after the U.S. Energy Department reported that inventories surged to the highest level in more than 21 years and production and imports climbed.

Supplies rose 2.84 million barrels to 375.9 million last week, the most since September 1990, the department said. Output increased 8,000 barrels a day to 6.12 million, the highest level since November 1999. Imports increased for a third week. Prices also dropped on reports showing that U.S. employers added fewer jobs than forecast in April and as factory decreased in March.

Employment increased by 119,000 in April following a revised 201,000 gain the prior month, according to figures from Roseland, New Jersey-based ADP Employer Services. The median forecast of economists called for a 170,000 advance.

Orders with U.S. factories fell 1.5 percent in March after a revised 1.1 percent gain the prior month, figures from the Commerce Department showed today in Washington. The median projection of 61 economists called for a 1.6 percent decline.

Crude oil for June delivery slid to $104.91 a barrel on the New York Mercantile Exchange. Brent oil for June settlement retreated $1.64, or 1.4 percent, to $118.02 a barrel on the London-based ICE Futures Europe exchange.

Gold prices decreasing on Wednesday against the U.S. currency appreciation associated with the statistics on an index of business activity in the industry in the euro area in April, as well as data on unemployment in the region in March.

The index of business activity in the field of industrial production for the 17 eurozone countries (PMI), calculated by Markit Economics, on the final assessment, declined in April 2012 by 1.8 index points from March and up 45.9 points. Thus, the data were worse than analysts' forecasts, expected a decline to 46 index points from 47.7 points in March.

The unemployment rate in the 17 eurozone countries in March in monthly terms increased by 0.1 percentage points, to a new record high of 10.9%. Published data coincided with the forecasts of analysts.

Released in the U.S. statistics on the number of jobs in private companies in the USA in April was worse than analysts' forecasts. Thus, the level of employment in the private sector in April rose by 119 thousand against 201 thousand to the revised March figure, which is now in its report said office ADP. Experts interviewed on the eve of the release, expected to figure at 170 thousand

The cost of the June gold futures on the COMEX fell today to $ 1646.0 an ounce.

Change % Change Last

Gold 1,663 -2 -0.10%

Oil 105.97 +1.10 +1.05%