WASHINGTON (dpa-AFX) - Crude oil prices climbed higher on Wednesday amid hopes about outlook for demand in the U.S., and forecasts for a drawdown in U.S. crude stocks last week.
West Texas Intermediate Crude oil futures for August ended higher by $1.34 at $72.53 a barrel, recovering smartly from a low of $70.80 a barrel.
Brent crude futures were up $1.20 or 1.58% at $77.10 a barrel a little while ago.
Traders await weekly crude inventory data from the American Petroleum Institute (API) and U.S. Energy Information Administration (EIA).
The API's report is due later today, while the EIA is scheduled to release its crude inventory data Thursday morning.
A Reuters poll estimates a drop of about 400,000 barrels of crude stocks in the U.S. in the week to June 16. However, an expanded poll suggests a marginal increase in crude oil stockpiles.
Traders also noted the hawkish comments from Fed Chair Jerome Powell, who reiterated before the House Financial Services Committee that the central bank is likely to continue raising rates to contain inflation.
'Nearly all FOMC participants expect that it will be appropriate to raise interest rates somewhat further by the end of the year,' Powell said in his testimony today.
The central bank's latest projections suggest it plans to resume raising rates later this year, forecasting a rate of 5.6% by the end of 2023.
Copyright(c) 2023 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX