Oil is trading lower today after yesterday's rally driven by a broadly weaker U.S. dollar after the FED comments. The Federal Reserve, although removing the 'patient' wording from its minutes, lowered forecasts on economic growth and inflation, which led to a sharp drop in the dollar. Before FED chair Janet Yellen spoke data showed that oil supplies in the U.S. rose to the highest level on record last week putting pressure on oil prices. U.S. crude oil inventories rose by 9.6 million barrels. Brent Crude lost -1.22%, currently trading at USD55.23 a barrel. On January 13th Crude set a low at USD45.19. West Texas Intermediate slumped -3.34% currently quoted at USD43.17.

Oil prices declined sharply in recent months as worldwide supply exceeds demand in a period of low global economic growth, pushing stockpiles to record highs and weighing on prices.