Oil trades near two-week high
West Texas Intermediate oil traded near the highest level in two weeks after an industry report showed crude stockpiles fell for the first time since February in the U.S., the world's largest user of the commodity.
Futures were little changed after climbing a fourth day yesterday, the longest run of gains since January. Crude supplies shrank by 1.38 million barrels last week, the American Petroleum Institute said. An Energy Department report today may show inventories rose by 2.3 million, according to a Bloomberg News survey. OPEC boosted its crude production to the highest in three months in February, led by increased output from Saudi Arabia and Iraq, a report from the producer group showed.
"The API figures provided mildly positive sentiment," said Ric Spooner, a chief market analyst at CMC Markets in Sydney. "This is a corrective rally, there's been no real change in the bigger demand/supply picture that would suggest this was the beginning of any significant move."