Oil nudges up on escalating Ukraine war, signs of improving China demand
Shafaq News/ Oil edged up on Wednesday amid an escalation inthe Ukraine war and signs of growing Chinese crude imports, while rising UScrude stocks checked overall price gains.
Brent crude futures gained 9 cents, or 0.1%, to $73.40 abarrel by 00:03 GMT. US West Texas Intermediate crude futures rose 14 cents, or0.2%, to $69.53 per barrel.
US crude oil stocks were seen rising by 4.75 million barrelsin the week ended Nov. 15, market sources said on Tuesday, citing AmericanPetroleum Institute figures. Gasoline inventories, however, fell by 2.48million barrels.
Distillate stocks also fell, shedding 688,000 barrels lastweek, the sources said. Official government data is due later on Wednesday.
The escalating war between major oil producer Russia andUkraine appears to have supported prices.
On Tuesday, Ukraine used US ATACMS missiles to strikeRussian territory for the first time, Moscow said. Russian President VladimirPutin lowered the bar for a possible nuclear attack.
"This marks a renewed build up in tensions in theRussia-Ukraine war and brings back into focus the risk of supply disruptions inthe oil market," ANZ analysts said in a note to clients.
Signs that China, the world's largest crude importer, mayhave stepped up oil purchases this month after a period of weak imports boostedoil price sentiment.
Data from vessel tracker Kpler showed China's crude importsare on track to end November at or close to record highs, an analyst toldReuters.
Weak imports by China so far this year have pulled down oilprices, with Brent sinking 20% from its April peak of more than $92 a barrel.
(Reuters)
