September 23, 2021

Unimpressed by the strengthening of the USD, oil prices continue to rise

 Oil prices continued to rise higher after seeing a decline in U.S. crude oil supply to its lowest level since 2018.

Brent crude futures rose higher at $ 76.38 a barrel ahead of the opening of the European session, while US WTI trading was up at $ 72.38 a barrel.

Both benchmarks jumped 2.5% on Wednesday after data released showed US crude oil stocks falling to their lowest level since October 2018.

According to a report released by the Energy Information Administration (EIA), oil inventories declined by 3.65 million barrels to 414 million barrels in the week ended Sept. 17.

As a sign of strong fuel demand in tandem with the easing of travel restrictions the consumption rate of oil mills on the East Coast increased by up to 93%, the highest rate since May 2019, according to EIA data.

The fall exhibited by the EIA attests to a large drop in U.S. crude oil supplies that have been affected by Hurricane Ida that hit production facilities in the Gulf of Mexico more than three weeks ago.