Oil prices rose today, Wednesday, after data showed a decline in oil and fuel stocks in the United States, in addition to increasing speculation about new production cuts by the OPEC + alliance, after a warning from the Saudi Energy Minister to speculators.
Brent crude futures rose 79 cents, or 1.03%, to $77.63 a barrel by 06:25 GMT, while US West Texas Intermediate crude rose 87 cents, or 1.19%, to $73.77 a barrel.
Late Tuesday, data from the American Petroleum Institute showed a sharp decline in crude oil and fuel stocks in the United States, according to Reuters.
And market sources quoted the institute as saying that crude stocks fell by about 6.8 million barrels in the week ending May 19, gasoline stocks fell by about 6.4 million barrels, while distillate stocks fell by about 1.8 million.
Meanwhile, some OPEC + countries began implementing production cuts this month. Concerns grew about the possibility of announcing more cuts after Saudi Energy Minister Prince Abdulaziz bin Salman said he would keep the short sellers, who bet that prices will fall, in pain and called on them to be cautious.
Some investors took this as a sign that the Organization of the Petroleum Exporting Countries and its allies, including Russia, may consider announcing more production cuts at a meeting on June 4th.
