Oil market rebounded on unexpected drawdown in US inventory and potential delay in OPEC+ production hike
Looking ahead, the oil market is poised for volatility with two key events next week: the US presidential election, which could reshape economic policy, and a high-level meeting in China where stimulus measures may be on the agenda.
Oil prices surged on Wednesday, October 30, as an unexpected drop in US crude and gasoline inventories and potential delays in OPEC+ production hikes drove bullish sentiment across the market.
Brent crude futures climbed $1.43, or 2.01%, to settle at $72.55/barrel.
WTI rose $1.40, or 2.08%, reaching $68.61/barrel.
The US Energy Information Administration (EIA) reported gasoline inventories hitting a two-year low, reflecting stronger demand, with crude stocks also falling due to lower imports. Adding to the market rally, Reuters reported that OPEC+ is considering postponing its planned December production increase.
Looking ahead, the oil market is poised for volatility with two key events next week: the US presidential election, which could reshape economic policy, and a high-level meeting in China where stimulus measures may be on the agenda.
Written by: Rochelle Nguyen