Oil prices rise, hit highest since October 2018

Oil prices rose on Thursday, extending gains in the prior session and hitting its highest since October 2018, after the EIA data showed that US crude oil inventories fell by a more than expected 7.61 million barrels in the June 18th week, a fifth consecutive period of decline and the largest since the last week of April.

Meanwhile, the OPEC+ have been discussing a further unwinding of last year’s record output cuts from August. Elsewhere, talks between world powers and Iran to revive a nuclear deal ended without an agreement.

The oil market is up around 50% so far this year, as investors are upbeat about fuel demand recovery this summer, with vaccination programs in Europe and the US allowing more people to travel. At around 06:00 AM GMT, WTI oil and Brent crude went up 0.2%, each to $73,23 a barrel and $75.34 a barrel.

The West Texas Intermediate (WTI) benchmark for US crude is the world’s most actively traded commodity.

Source: Trading Economics