Big drop in oil stocks in US lifts oil price

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Oil has risen more than 7% in September on a drop in global inventories and signs of an easing in trade tension between the US and China

The crude oil dock at the Port of Corpus Christi in Texas. Picture: REUTERSOil prices rose on Wednesday after a reported sharp drop in US crude stocks as Opec member Iraq said the producer group will discuss whether to deepen output cuts.

Oil prices have risen more than 7% in September, supported by declines in global inventories and signs of an easing in trade tension between the US and China, the world's two largest economies and energy consumers. But on Wednesday, Iraq's oil minister Thamer Ghadhban said oil cartel Opec will discuss at a ministerial meeting on Thursday whether to deepen cuts. The previous OPEC meeting had discussed cuts of 1.6-million to 1.8-million barrels per day, he said.

Official inventory numbers will be released by the US Energy Information Administration later on Wednesday.

 

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