Oil rose toward a five-month high after an industry reportsignaled an unexpected drop in U.S. crude inventories last week, adding to the picture of a tightening global market.
Futures in New York advanced as much as 0.8 percent after gaining 1 percent on Tuesday. U.S. stockpiles declined by 3.1 million barrels last week, the American Petroleum Institute was said to report. If confirmed by government data due later on Wednesday, that would be the first decline in four weeks and defy analyst forecasts for inventories to rise. China reported first-quarter economic growth that beat estimates, adding to crude’s upward impetus.
West Texas Intermediate for May delivery rose 47 cents, or 0.7 percent, to $64.52 a barrel on the New York Mercantile Exchange as of 10:59 a.m. in Singapore. It advanced as much as 49 cents earlier and climbed 65 cents to close at $64.05 on Tuesday.