Oil advanced for a fifth day on signs of another substantial draw in US inventories and a buoyant mood across wider markets. West Texas Intermediate rose toward $82 a barrel, on course for the longest winning streak since March. US stockpiles tumbled by 11.5 million barrels, according to the industry-funded American Petroleum Institute. If confirmed by official data later Wednesday, that would be the sixth drop in seven weeks.
Crude has been supported by lower output from Saudi Arabia, with Riyadh implementing a substantial voluntary supply reduction in a bid to rebalance the global market following a weak first half. Widely tracked market metrics point to a positive picture. The spread between Brent’s two nearest December contracts is approaching $5 a barrel in backwardation — a bullish pattern — compared with less than $2 a barrel a little more than two months ago.