Investing.com - Crude continued rebounding in Asia on Wednesday
The U.S. West Texas Intermediate crude August contract rose 0.73% to $45.77 a barrel on Wednesday. Elsewhere, on the ICE Futures Exchange in London, Brent oil for September delivery was last quoted up 0.68% to $48.20 a barrel.
Oil rose on Tuesday after reports that stockpiles in Oklahoma, U.S., the delivery point for West Texas Intermediate crude, reportedly dropped 2.1 million barrels in the week to July 7 and news that OPEC may be considering capping production in members Nigeria and Lybia. The two countries have been exempt from a deal to cut 1.8 million barrels per day in production.
The rises on Wednesday marked the continuation of a rebound after a sharp sell off last week, the sixth weekly loss in seven weeks driven by concerns over a market glut. U.S. government data showed total domestic crude production rose by 88,000 barrels a day to around 9.34 million barrels at the end of last week.
The market shrugged off news that Saudi Arabia has no plans to cut supplies to East Asia and that the country actually pumped more oil in June, exceeding the agreed-on cap.
Meanwhile, investors will keep an eye out for monthly reports from the Organization of Petroleum Exporting Counties and the International Energy Agency to assess global supply and demand levels.
Oil prices were also lifted by data from the American Petroleum Institute (API), which showed U.S. inventories dropped by 8.13 million barrels last week.