TOKYO- Oil prices climbed on Thursday after a sharp drawdown in US crude and gasoline stocks reinforced optimism of a quick recovery in fuel demand and on doubts about the future of the 2015 Iran nuclear deal that could end US sanctions on Iranian crude exports.
Brent crude futures rose 9 cents, or 0.1 percent, to $75.28 a barrel, after increasing 0.5 percent on Wednesday.
US West Texas Intermediate (WTI) crude futures gained 6 cents, or 0.1 percent, to $73.14 a barrel, after rising 0.3 percent on Wednesday.
Both benchmarks hit their highest since October 2018 on Wednesday, but they pared gains later in the session as energy traders locked in profit after the US inventory report, Edward Moya, senior market analyst at brokerage OANDA, said in a report. Prices resumed climbing in Asia trade on Thursday.
US crude inventories fell by 7.6 million barrels in the week to June 18 to 459.1 million barrels, their lowest since March 2020, the US Energy Information Administration said. The drawdown was nearly double analysts’ expectations in a Reuters poll for a 3.9 million-barrel drop.
US gasoline stocks fell by 2.9 million barrels in the week, against analysts’ expectations for an 833,000-barrel rise. – Reuters
