Oil extends gains in Asia, US gasoline draw supports prices
|Oil prices at both the sides of the Atlantic strengthened in Asia as a surprise draw in the US gasoline stocks came as a relief to oil traders who fear that gasoline glut may derail oil rebalancing.
At the time of writing, US oil was up 28 cents or $41.11/barrel. Brent oil was up 22 cents or 0.51% at $43.32/barrel. Both benchmarks jumped 3% on Wednesday after official data in the US showed gasoline stocks slumped by 3.3 million barrels, versus forecasts for a 200,000-barrel drop.
US Oil inventories rose for a second week in a row, gaining 1.4 million barrels last week. Markets were expecting a decrease of 1.4 million barrels.
However, the oversold oil benchmarks ignored oil inventory rise and jumped on gasoline drawdown.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.