Crude futures settle higher and add gains on U.S. policy | Reuters
Oil futures settled higher on Wednesday, changing course after the Biden administration said it would not call on U.S. producers to increase crude output, and that efforts to increase OPEC production were a longer-range plan.
The market was also bolstered by a government report showing U.S. crude supplies fell last week, shifting the spotlight away from production by the Organization of the Petroleum Exporting Countries.
Brent crude is up about 35% this year, supported by OPEC-led supply curbs, even after the global benchmark oil contract last week suffered the steepest weekly loss in four months on worries that travel restrictions to curb coronavirus infections would hit demand.
Brent settled up 81 cents, or 1.15%, at $71.44 a barrel, and continued to tick upward in thin volumes during post-settlement trade. The increase followed a 2.3% rally on Tuesday. Earlier in the session it dipped to a low of $69.07 a barrel.
U.S. West Texas Intermediate (WTI) settled up 96 cents, or 1.41%, at $69.25 a barrel, after a 2.7% jump on Tuesday.
Prices fell early in the session after the White House said in a statement that the Biden administration had urged OPEC and its partners to boost production.
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