Brent crude oil prices rise above $60 on Wednesday, as US crude inventories drop, reported by Reuters.
Brent crude LCOc1 was up 33 cents or 0.6%, at $60.36 a barrel.
US crude CLc1 rose 17 cents or 0.3%, at $56.30 a barrel.
According to the data from American Petroleum Institute (API), US crude oil stocks fell by 3.5 million barrels in the weeks to August 16.
Analysts believed that data by Energy Information Administration (EIA) which will published on Wednesday, could show the end of peak US season.
“with Canadian heavy crude restrictions, we should see US refiners … struggle to fill the void from lowered shipments from Mexico and Venezuela”, analysts said regarding to the Canadian province of Alberta extending mandatory reduction in crude productions.
Tensions in Middle East are in focus, the US Secretary of State, Pompeo, pointed out that US would take actions to prevent Iranian tanker in the Mediterranean from delivering oil to Syria.
Another support for oil prices comes from reduction in exports from Saudi Arabia – the world’s top oil exporter – in June.
Traders are waiting for annual US central bank seminar at Jackson Hole. The biggest risk for oil prices is if Powell disappoints the thought of more easing policy.