(RTTNews) – Crude oil prices are back on the rise in trading on Wednesday, following a sharp decline seen in the previous session.
Crude oil for December has made a slight comeback after reaching above $61 a barrel, but it was last seen trading at $60.46 a barrel, up $0.31 or 0.5 per cent.
The rise comes after three consecutive sessions of decline in crude oil, including a 1.9 percent decline seen during Tuesday’s trading.
Oil prices benefited from the release of a report from the Energy Information Administration that showed a sharp decline in US crude oil inventories in the week ending October 24.
The EIA said crude oil inventories fell by 6.9 million barrels the previous week, following a decline of 1.0 million barrels the previous week.
At 416.0 million barrels, U.S. crude oil inventories are about 6 percent below the five-year average for this time of year, the EIA said.
The report also showed a significant decrease in gasoline inventories, which fell by 5.9 million barrels last week and are about 3 percent below the five-year average for this time of year.
Distillate fuel inventories, which include heating oil and diesel, also declined by 3.4 million barrels last week and are about 8 percent below the five-year average for this time of year, the EIA said.
Traders also remained optimistic about a US-China trade deal ahead of Thursday’s meeting between President Donald Trump and Chinese counterpart Xi Jinping, although demand concerns limited gains.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Reflect the views of.
