Petroleum prices rose on Wednesday after hitting a two-month low as the focus returned to looming U.S. sanctions on oil exporter Iran, although concern about a weaker demand outlook weighed.
In a sign Iranian exports will drop further once the sanctions take effect on Nov. 4, sources said two Chinese state-owned refiners were not planning to load Iranian oil for November.
Brent crude -- the world benchmark -- was up 31 cents at $76.62 U.S. a barrel. It fell earlier in the day to $75.11, the lowest since Aug. 24. U.S. crude, known as WTI, was up 40 cents at $66.83 U.S. after briefly gaining nearly 1%. Prices jumped slightly after the U.S. Energy Information Administration said gasoline inventories decreased by 4.8 million barrels, offsetting a 6.3 million-barrel build in crude inventories.
Crude fell sharply on Tuesday, with Brent closing down 4.3% on growing concern about a weaker outlook for economic growth and demand, and easing supply worries.
Industry group the American Petroleum Institute said on Tuesday U.S. crude stocks had risen by 9.9 million barrels - more than forecast.
Forecasters such as the International Energy Agency already expect slower oil-demand growth for 2019 due to a weaker economy.
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