Oil prices rose over $2 a barrel on Wednesday after government data showed a larger-than-expected drawdown in US crude inventories and on expectations demand will rise as vaccination rollouts widen. US crude oil stockpiles fell last week to the lowest since September 2019, the US Energy Information Administration said, extending their drawdown after Hurricane Ida’s hit late August shut numerous refineries and offshore drilling production. Brent crude rose $2.12, or 2.9%, to $75.72 a barrel by 1514 GMT, while US West Texas Intermediate (WTI) crude climbed $2.28, or 3.3%, to $72.75 a barrel. Earlier in the session, Brent touched $76.13 a barrel, a contract high, and the highest outright price since late July. US crude and distillate inventories last week fell more than analysts expected, while gasoline stocks also declined, but fell slightly short of analysts’ expectations.
Published in The Express Tribune, September 16th, 2021.
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