Oil price news: oil holds near upper end of range on signs of tighter market
BNN Bloomberg
Oil hovered near the top of its recent trading range ahead of a report expected to show rising U.S. crude stockpiles, undercutting signs of a tightening physical market.
West Texas Intermediate was little changed near US$78 a barrel. The industry-funded American Petroleum Institute reported a large increase in U.S. inventories ahead of official U.S. government data due later Thursday.
In contrast, timespreads are signaling a more robust market and gauges of crude supply balances at the delivery point for U.S. futures of Cushing, Oklahoma, have also soared. Both measures are in a bullish pattern indicative of tight near-term supplies.
The absence of significant drivers for oil has meant futures have taken their cue from wider equity markets, with prices influenced by the ebbs and flows of global equities amid earnings reports and the release of economic data.
