The price of oil jumped by about 0.5%, helped by data on oil reserves in the United States, as well as the negative dynamics of the American currency.
The American Petroleum Institute said that crude oil inventories in the United States fell by 5.52 million barrels in the week that ended March 8. That would be the first drop in seven weeks if confirmed by US government data later Wednesday. Meanwhile, reserves in Cushing, Oklahoma, allegedly declined by 998,000 barrels. Gasoline stockpiles slid by 3.75 million barrels, while distillate inventories tumbled by 1.16 million barrels.
Oil fell in price yesterday after OPEC said its latest supply cuts had stalled. Meanwhile, inflation in the US continues to rise, muddying the path of monetary policy. However, analysts still believe that the Fed may start cutting rates in the summer, despite a steady increase in consumer prices in the United States in February amid higher gasoline and housing prices. Lower rates support the demand for oil.
Meanwhile, the Energy Information Administration said yesterday that U.S. oil production will grow faster this year than previously expected, which will help cushion global supplies as OPEC+ cuts.