In spite of the drop in supplies, oil prices remain stuck in the mid-$40 a barrel range depressed by weak consumption and worries about the economic crisis. However, traders in the physical oil market said supplies were now beginning to drop into balance with falling demand.
Crude oil tankers, which a month ago were proving unsaleable because of the glut in the physical oil market, are selling relatively quickly as refiners look for supplies to replace the oil they are no longer being offered by Opec countries such as Saudi Arabia, Iran and even Venezuela.
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