Oil prices at near 22-month low

By Kenneth Musante
CNNMoney.com staff writer

NEW YORK (CNNMoney.com) - Oil prices fell to a nearly 22-month low Wednesday after a government report showed a bigger-than-expected rise in crude inventories, reinforcing concerns that demand for petroleum products is waning.

U.S. crude for December delivery fell 77 cents to $53.62 a barrel. The last time prices were this low was January 2007. Just before the report, the contract – which expires Thursday – was up 63 cents at $55.02.

The Energy Department said crude supplies rose by 1.6 million barrels in the week ended November 14. Analysts had expected to see a rise of 1.2 million barrels of crude oil, according to energy research firm Platts.