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REFILE-Oil gains on surprise drawdown in U.S. crude inventories

Published 05/04/2018, 11:57 am
© Reuters.  REFILE-Oil gains on surprise drawdown in U.S. crude inventories
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TOKYO, April 5 (Reuters) - Oil prices rose on Thursday, holding onto a late-session rally the previous day, buoyed by the U.S. government data showing a surprise drawdown in crude stockpiles.

U.S. West Texas Intermediate crude for May delivery CLc1 was up 19 cents, or 0.3 percent, at $63.56 a barrel by 0140 GMT after settling down 14 cents.

Front-month London Brent crude LCOc1 for June delivery was up 20 cents, or 0.3 percent, at $68.22, having ended down 10 cents.

Before the rebound late on Wednesday, after the release of the Energy Information Administration (EIA) inventory data, WTI and Brent had hit two-week lows after China proposed a broad range of tariffs on U.S. exports, feeding fears of a trade war. crude inventories fell by 4.6 million barrels last week, compared with analysts' expectations for an increase of 246,000 barrels, EIA data showed on Wednesday. EIA/S

Gasoline stocks fell by 1.1 million barrels, compared with analysts' expectations for a 1.3 million barrels drop. Distillate stockpiles, which include diesel and heating oil, rose by 537,000 barrels, versus expectations for a 1.1 million barrels drop.

Oil has also received support from a turnaround in the U.S. stock market and a Reuters survey showing OPEC oil output fell in March to an 11-month low due to declining Angolan exports, Libyan outages and a further slide in Venezuelan output. September crude futures ISCc1 were untraded due to a public holiday in China, after falling 0.8 percent on Wednesday. Shanghai trading will resume on Monday.

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