Oil rises after U.S. stockpiles drop

Amman, Oil prices rose on Wednesday after industry data showed U.S. stockpiles fell far more than expected, alleviating concerns about oversupply, while major U.S. producers evacuated rigs in the Gulf of Mexico ahead of a brewing storm.

West Texas Intermediate (WTI) crude Clc1 had climbed 85 cents, or 1.5%, having earlier risen to $58.68. Brent LCOc1 was up 65 cents, or 1.1%, at $64.80, after earlier touching $64.95.

The U.S. and global benchmarks have gained this year as the Organization of the Petroleum Exporting Countries (OPEC) and big producers such as Russia have curbed output to bolster prices.

However, ongoing trade tensions have raised fears about weaker demand, and investors have been on the lookout for signs that rapidly increasing U.S. production is being consumed.

U.S. crude stockpiles fell more than forecast last week, while gasoline inventories decreased and distillate stocks built, data from industry group the American Petroleum Institute (API) showed on Tuesday.

Source: Jordan News Agency