Oil rallies after record 10th straight fall in United States inventories

Philadelphia Energy Solutions oil refinery owned by The Carlyle Group in Philadelphia. US crude inventories continue declining. David M Parrott  Reuters

And OPEC is predicting rising global oil demand over the next four years will push prices even higher.

Brent crude futures LCOc1 were at $69.07 a barrel, down from a high of $69.37 earlier in the day and 18 cents below their last close.

West Texas Intermediate crude oil climbed above the $65 mark for the first time in more than three years on Wednesday.

The market also looked past EIA data showing US oil production rose to 9.88 MMBPD during the week ended January 19, drawing ever closer to the all-time high just above 10 MMBPD set in November 1970.

The Energy Information Administration (EIA) yesterday said United States inventories had fallen to 411.6m barrels, the lowest since February 2015.

That was below analyst estimates for a drop of 1.6 million barrels in an economists' poll, but the report eased traders' worries after industry data released on Tuesday suggested that stocks rose by 4.8 million barrels. A weaker dollar makes greenback-denominated commodities less expensive for investors using other currencies.

Over the past four weeks, motor gasoline product supplied averaged about 8.7 million barrels per day, up by 5.4 percent from the same period previous year.

Also supporting oil prices was a 0.7 per cent drop in the USA dollar after Treasury Secretary Steven Mnuchin's comments that a weaker currency was positive for American trade.

The report contained some bearish news on refined fuel stockpiles and US production, Kilduff said.

World oil prices have renewed their highs since December 2014 amid the publication of data from the U.S. Energy Department on reducing raw material reserves in the country, the OPEC + agreement and the weakening of the dollar.

Total products supplied over the past four-week period averaged 20.5 million barrels per day, up by 8.1 percent from the same period of a year ago.

EIA forecast earlier this month US production would reach 10.3 MMBPD later this year, topping Saudi production and rivaling Russian Federation.

In May, the parties to the agreement agreed to extend the deal until the end of March 2018. It is thought to have supported the recent oil price rally and helped to clear a global supply overhang.

Related news:

Hot News

isis-killer-beheading-video-story-top How can parents torture their children?
Jan 27, 2018 - 16:44
The parents were jailed on $12 million bail each after pleading not guilty Thursday at their first court appearance. State records show the residence was designated Sandcastle Day School , with David Turpin listed as the principal.

isis-killer-beheading-video-story-top Animal Cruelty: Poor Dog Nearly Dies After Her Owner Dies Her Purple
Jan 27, 2018 - 16:42
Have you ever tried your hair dye on the dog? Well after the proper bandaging and treatment, the dog starts working perfectly.

isis-killer-beheading-video-story-top Michigan State president Lou Anna Simon resigns amid Larry Nassar scandal
Jan 26, 2018 - 01:47
Former Spartan athletes are among the more than 150 women and girls who have spoken over the last week at Nassar's sentencing . How is the Michigan State case different? As it stands now , the board's vote for supporting President Simon stands at 7-1.

isis-killer-beheading-video-story-top Doomsday Clock Moves Closer To Midnight, We're 2 Minutes From World Annihilation
Jan 26, 2018 - 01:45
The last time the clock was updated was just under one year ago. "And as a effect , Earth has warmed by one degree", Kartha said. When it was created in 1947, the clock's hand stood at seven minutes to midnight.

isis-killer-beheading-video-story-top Fears over US-Turkey military confrontation in Syria
Jan 26, 2018 - 01:44
They include the lasting defeat of Islamic State and helping Syrian refugees return home while avoiding civilian casualties. Analysts have cautioned that the area could be a flashpoint in already strained relations between Washington and Ankara .

isis-killer-beheading-video-story-top India go 42 in front after Bumrah five
Jan 26, 2018 - 01:43
The decision looked a bit unfair as the review said the ball was kissing the leg stump and the on-field umpire's decision stood. India were battling to stay in the game at that point against the seaming ball, but had two pieces of luck before lunch.

isis-killer-beheading-video-story-top Microsoft's new big day one Game Pass access program includes PC
Jan 25, 2018 - 01:02
Xbox Game Pass is a cool service allowing many Xbox One gamers to play a host of great games for just a small monthly fee.

isis-killer-beheading-video-story-top Smart speaker comes with option to mute Siri
Jan 25, 2018 - 00:50
Revealed at Apple's Worldwide Developers Conference ( WWDC ) in June 2017 , the HomePod smart speaker is keeping fans waiting. Perhaps more importantly, HomePod is also a smart speaker , marking Apple's first competitor to Google Home and Amazon Echo .

isis-killer-beheading-video-story-top Range Rover SV Coupe marks return of the two-door Land Rover
Jan 24, 2018 - 11:28
Arriving in the 70th year of Land Rover , the model pays homage to the original two-door Range Rover from 1970 (pictured below). Land Rover promises up-to-the-minute technologies utilized throughout the cabin as well.

isis-killer-beheading-video-story-top Tommy Fleetwood says Rory McIlroy ready to return to winning ways
Jan 23, 2018 - 01:40
But Fleetwood birdied the 10th, 12th, 13th, 15th and 16th holes and closed out victory on the last when he rolled in a 5-footer. McIlroy finished tied for third place and congratulated Fleetwood and said: "This is an incredible win for him.

isis-killer-beheading-video-story-top Bomb explodes at Polk Co. mall, no one injured
Jan 23, 2018 - 01:40
A bomb squad continued to sweep the mall and further investigations found the suspicious backpack to be a false alarm. There were no injuries, but there was damage to a ceiling and potentially to the corridor wall, police said.

isis-killer-beheading-video-story-top PlayStation is launching a 'Totaku' figurine line
Jan 23, 2018 - 01:39
These figures aren't interactive like the popular Nintendo amiibo figures, but they do look very similar in design. Each figure is 10cm (four-inches) tall, promises to be highly-detailed, but can not be articulated.

isis-killer-beheading-video-story-top Natalie Portman was 13 when sent 'rape fantasy' fan mail
Jan 23, 2018 - 01:36
To take back control of her body, Portman chose to take roles that strayed from any sexual content, not even kissing. Portman said: 'Movie reviewers talked about my budding breasts in reviews'.

isis-killer-beheading-video-story-top US Calls N. Korea Rogue Regime in New Nat'l Defense Strategy
Jan 22, 2018 - 01:41
US Defense Secretary James Mattis has spelled out in clear language what had been hinted at by US National Security Advisor H.R. There is increasing global volatility and uncertainty with challenges from Russian Federation and China coming to the fore.

isis-killer-beheading-video-story-top North Korea accuses United States of plotting another Korean War
Jan 22, 2018 - 01:40
There are signs of stresses in the economy, including temporary blips in foreign exchange rates, the visitors say. President Donald Trump's decision last week to extend a waiver on nuclear sanctions that were imposed on Iran.