Oil prices extended gains in early trade on Thursday on the report of falling US crude and products inventories last week. At the same time, OPEC+ producers reportedly achieved full compliance in their coordinated supply reduction pact. Oil has climbed for a third day despite a resurgence in coronavirus cases across Europe which might dent fuel demand.
US crude, gasoline, and distillate stockpiles all declined in the week ended October 9, according to data from the American Petroleum Institute . Crude stocks dropped by 5.4 million, while distillate inventories fell by 3.9 million barrels, nearly double analysts’ expectations. The Energy Information Administration (EIA) will release its weekly inventory data later on Thursday.
Meanwhile, Reuters reported that OPEC+ producers reached 102% compliance with its production cut pact in September. Tanker tracking data also showed that China’s and India’s crude oil imports increased in September, providing the prices with additional support.
The international benchmark Brent crude LCOc1 futures gained 5 cents (0.1%) to $43.37/barrel as of 0032 GMT, while US WTI crude CLc1 futures rose 4 cents (0.1%) to $41.08/barrel.
