Petroleum prices increased more than 2% as U.S. crude stocks fell last week as refineries hiked output, while gasoline stocks decreased and distillate inventories rose.
U.S. West Texas Intermediate crude futures climbed $1.90 to $59.73 U.S.. Brent crude futures were up $1.98 at $66.03.
Other data released Wednesday by the U.S. Energy Information Administration revealed that American crude inventories decreased by 9.5 million barrels from the previous week, compared with analysts’ expectations for a decrease of 3.1 million barrels.
Earlier, information from the American Petroleum Institute (API) on Tuesday showed U.S. crude inventories fell by 8.1 million barrels in the week to July 5 to 461.4 million, compared with analyst expectations for a decrease of 3.1 million barrels.
Major oil companies began evacuating and shutting in production in the Gulf of Mexico after weather forecasts warned that a tropical disturbance might become a storm on Wednesday or Thursday.
Chevron Corp (NYSE:CVE), Royal Dutch Shell (NYSE:RDS.A), BP (NYSE: BP) and BHP Group are removing staff from 15 offshore energy platforms. Exxon Mobil (NYSE: XOM) said it was "closely monitoring" the disturbance to determine if its facilities might be affected.
What's more, the U.S. and global benchmarks have gained this year as the Organization of the Petroleum Exporting Countries (OPEC) and big producers such as Russia have curbed output to bolster prices.
The alliance, known as OPEC+, agreed last week to extend their supply-cutting deal until March 2020. Tensions around Iran’s nuclear program and recent incidents involving oil tankers in the Gulf have also supported prices
