Oil Prices Rise on Thursday as US Inventories Fall

Oil prices rose on Thursday, reversing earlier losses, as larger-than-expected drawdowns in US gasoline and distillate inventories prompted buying, and the rally was also supported by expectations that higher natural gas prices as winter approaches will shift to oil to meet heating demand.

Brent crude futures rose 67 cents, or 0.8 percent, to $83.85 a barrel, after falling 0.3 percent on Wednesday, and US West Texas Intermediate crude futures rose 62 cents, or 0.8 percent, to $81.06 a barrel, more than offsetting a drop. The previous day by 0.3%.

Analysts in a Reuters poll expected crude oil stocks to rise by 0.7 million barrels, but gasoline stocks would fall by 0.1 million barrels and distillates to fall by 0.9 million barrels, Saito said, with OPEC + sticking to an existing agreement to gradually increase oil production and the loss of some OPEC countries access. To its share, supply will remain tight and oil prices will remain in an uptrend at least until the next OPEC+ meeting.