91��Ƶ

U.S. oil refiners won’t be allowed to complete shipments of Venezuelan crude they booked before the Trump administration slapped new sanctions on the Latin American nation.

Crude skidded to its worst loss in a month as disappointing corporate profit forecasts stoked concern about the economy, bruising a market already anxious about booming American oil supplies.

A year ago, the U.S. government envisioned American crude production averaging 11.95 million barrels a day in 2042. Shale drillers are set to exceed that this year.

Heavy Canadian crude isn’t getting cheaper, but that hasn’t stopped companies from splurging on costly rail shipments.

If the United States decides to deploy a slate of sanctions that it is said to have drafted against the Latin American nation, American refiners would be forced to cease purchases. That may mean more supply becomes available for the OPEC producer’s other big customers: China and India.

Propelled by the shale-oil boom, the U.S. is already producing more crude than either Russia or Saudi Arabia, who until recently vied for the top spot. By midyear America will go one better.

Oil retreated below $52 a barrel as data showing record U.S. crude production suggested markets may remain oversupplied despite output cuts by OPEC and its allies.

Oil rose amid estimates of another decline in U.S. crude inventories and signs that China is stepping up efforts to combat an economic slowdown.

The U.S. petroleum industry is meeting record world demand while decreasing the amount of carbon emissions released into the skies, but challenges lie ahead if it hopes to maintain that momentum, according to the American Petroleum Institute’s annual report, “State of American Energy 2019.”