Oil ticks up as drop in U.S. crude and gasoline stocks exceeds view

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Both contracts had fallen about 2.5% in the previous session on signals that central banks may not be done with interest rate hikes.

Crude stocks fell by about 2.4 million barrels in the week ended June 23, according to the market sources, citing data from industry group American Petroleum Institute. Analysts had expected a draw of 1.76 million barrels.

Gasoline inventories fell by about 2.9 million barrels, compared with estimates for a draw of 126,000. That comes after a clash between Moscow and Russian mercenary group Wagner led to concern about possible oil supply disruptions and as markets await Saudi Arabia'sOn the demand side, European Central Bank President Christine Lagarde said on Tuesday that stubbornly high inflation will require the bank to avoid declaring an end to rate hikes. Higher interest rates can weigh on economic activity and oil demand.will likely have to continue raising interest rates.

Markets also awaited data due on Wednesday on China's industrial profits to gauge the strength of the world's second-biggest economy.

 

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