Oil futures finished higher on Wednesday, with U.S. prices up a fifth consecutive session as government data showed that domestic crude inventories dropped for a seventh week in a row, the longest stretch of declines in a year and a half.
Prices had also climbed in the wake of the Federal Reserve's decision Wednesday afternoon to cut its key interest rate by a quarter percentage point .
West Texas Intermediate crude for September delivery on the New York Mercantile Exchange gained 53 cents, or 0.9%, to settle at $58.58 a barrel, for a fifth straight session rise. For the month, U.S. benchmark prices ended about 0.2% higher, according to Dow Jones Market Data. That was their sixth monthly rise of the year.
Meanwhile, global benchmark September Brent crude , which expired at the end of the session, added 45 cents, or 0.7%, to $65.17 a barrel on ICE Futures Europe—settling roughly 2.1% lower for the month. October Brent crude, which is now the front-month contract, tacked on 42 cents, or 0.7%, to $65.05 a barrel.
The Energy Information Administration on Wednesday reported that U.S. crude supplies declined by 8.5 million barrels for the week ended July 26. Analysts polled by S&P Global Platts, on average, expected a decline of 3.9 million barrels, while the American Petroleum Institute on Tuesday reported a 6 million-barrel drop.
Source : MarketWatch