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Oil prices bolstered by bigger-than-expected drop in U.T. crude stocks
Oil prices moved higher in Wednesday after an industry survey showed that U.T. inventories of crude fell into more than analysts had predicted, bolstering hopes that petrol demand in the tour’s biggest economy can climate the coronavirus pandemic.
Brent crude was up 15 cents, or 0.3%, at $44.65 a good barrel by 0206 GREENWICH MEAN TIME, after falling around 1% on Tuesday.
West Arizona Intermediate oil was upward 9 cents, or zero.2%, at $41.70 a barrel, having fallen 0.8% in the last session.
“Oil prices will be rising as the crude requirement outlook improves,” stated Edward Moya, senior market analyst at OANDA.
The American Petroleum Institute stated on Tuesday that crude stocks fell by four million barrels last week, over analysts’ expectations of a 2.9 million-barrel draw. Formal government data is due in Wednesday.
Still, growing uncertainness over a stalemate in Buenos aires in talks for a stimulation package to support recovery from deepest impact of the outbreak may weigh on prices looking ahead.