Oil rebounds as US stocks rise less than expected, but over-supply remains a worry
New York — Oil prices rose on Wednesday, rebounding from earlier losses after US crude stocks rose less than expected and Saudi energy minister Khalid al-Falih said major oil producers would prefer tighter markets than to end supply cuts too early. US crude inventories rose 1.8-million barrels last week, Energy Information Administration (EIA) data showed, compared with expectations for an increase of 2.8-million barrels. Crude stocks fell again at the Cushing, Oklahoma storage hub, and have been cut in half since early November. Refining rates fell as US refiners reduce activity for seasonal maintenance. Petrol inventories, however, rose 3.6-million barrels, more than expected. "Refiners continue to process significantly more crude oil than they have in the past, resulting in higher production of petrol which is leading to higher product inventories," said Andrew Lipow, president of Lipow Oil Associates in Houston. Brent crude futures rose 34c to $63.06 a barrel as of 4.01pm GMT. U...
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