Brent crude gained 1.3% in the previous session to close at $87.34, its highest level since April 30. WTI crude oil hit an 11-week high of $83.88.
Brent crude oil prices hit their highest level since April on Thursday, holding above $87after data from the previous day showed a decline in US inventories.
Crude oil futures Brent U.S. crude futures rose 21 cents, or 0.2%, to $87.55 a barrel. Meanwhile, U.S. crude futures West Texas Intermediate (WTI) rose 28 cents to $84.15 in thin trading ahead of the U.S. Independence Day holiday.
In the previous session, Brent gained 1.3% to close at $87.34its highest level since April 30. WTI, meanwhile, hit an 11-week high of $83.88.
Crude futures could continue to rise as Category 4 Hurricane Beryl approaches the Gulf of Mexico, where rigs accounting for nearly a fifth of U.S. oil production operate.
Companies like Chevron, BP and Shell announced the evacuation of their workers from Gulf facilities before the arrival of the stormscheduled for Friday morning. There have been no supply disruptions yet.
These gains came after a bigger-than-expected decline in US crude inventories. The Energy Information Administration (EIA) reported a reduction of 12.2 million in inventorieswell above the 680,000 barrel drop forecast by analysts polled by Reuters.
Concerns about demand were heightened by data showing initial claims for U.S. unemployment benefits rose last week.while unemployment figures also rose.
In contrast, analysts point out that weaker economic data could accelerate interest rate cuts by the Federal Reserve, which could benefit oil markets.
On Thursday, Reuters reported that Russian oil producers Rosneft and Lukoil will sharply reduce oil exports from The Black Sea port of Novorossiysk in Julyaccording to two sources familiar with a cargo plan.
Meanwhile, Saudi Arabia’s Saudi Aramco has cut the price of its flagship light crude to be sold to Asia in August to $1.80 a barrel above the Oman/Dubai average.
The possible price reduction for Asia, which accounts for around 80% of Saudi crude exportshighlights the pressure facing OPEC producers as non-OPEC supply continues to grow while the global economy faces headwinds.
Source: Ambito
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