Oil prices rose on Wednesday, lifted by a report of a drop in U.S. crude inventories and declining production in China, while an upbeat OPEC statement on its planned output cut also supported the market, according to Reuters.
A slightly weaker dollar boosted oil as well, traders said, as it makes fuel purchases cheaper for countries using other currencies, potentially spurring demand, Reuters wrote.
U.S. West Texas Intermediate (WTI) crude oil futures were trading at $50.73 per barrel at 0326 GMT, up 44 cents, or 0.87%, from their last settlement.
International Brent crude futures were at $52.14 a barrel, up 46 cents, or 0.89%, according to the report.
U.S. crude stockpiles fell 3.8 million barrels in the week to October 14, to 467.1 million barrels, the API reported late on Tuesday.
The U.S. Energy Information Administration is due to release official crude and fuel storage data later on Wednesday.
Traders said oil was supported by Mohammed Barkindo, secretary general of the Organization of the Petroleum Exporting Countries (OPEC), saying he is confident about the prospects of a planned production cut following an OPEC meeting on November 30.
”I am optimistic we will have a decision,” he said.
The group also hopes non-OPEC producers, especially Russia, will cooperate in a cut.
In China, a raft of economic and trade data was released on Wednesday.
While economic growth was in line with expectations, at an annual growth rate of 6.7% in the third quarter, its oil figures were supportive of higher oil prices, traders said.