Oil prices gained more than 1% in early trade on Wednesday, led by U.S. crude after an industry group reported that U.S. stockpiles fell for a fourth week in a row, alleviating concerns about oversupply.
West Texas Intermediate (WTI) WTI futures rose 90 cents, or 1.5%, to $58.73 by 00:27 GMT. Brent was up 69 cents, or 1.1%, at $64.85.
The U.S. and global benchmarks have risen this year as OPEC and big producers like Russia have honored commitments to cut production and support prices.
But investors have been looking for signs that unrelenting production from the United States is being consumed, leading to inventory declines.
U.S. crude stockpiles fell more than forecast last week, while gasoline inventories decreased and distillate stocks built, data from industry group the American Petroleum Institute (API) showed on Tuesday.
Crude inventories fell by 8.1 million barrels in the week to July 5 to 461.4 million, compared with analysts' expectations for a decrease of 3.1 million barrels.
Crude stocks at the Cushing, Oklahoma, delivery hub fell by 754,000 barrels, API said.
Source : Reuters