U.S. oil prices surge as inventory draw adds to supply concerns | Reuters

U.S. oil prices surge as inventory draw adds to supply concerns | Reuters:

U.S. oil futures surged nearly 2 percent on Wednesday as they were bolstered by a fifth weekly crude inventory drawdown and strong domestic gasoline demand amid ongoing global supply concerns over U.S. sanctions on Iran that come into force in November.

U.S. crude inventories fell 2.1 million barrels last week to 394.1 million barrels, the lowest level since February 2015, government data showed. Gasoline stocks fell 1.7 million barrels versus forecasts for a 100,000-barrel drop. [EIA/S]

“It was a squarely bullish report,” said John Kilduff, a partner at Again Capital Management in New York. “The summer-like demand from drivers is proving unrelenting.”