Oil rises after API estimates a decline in US crude inventories

Oil futures are rising amid Middle East tensions and an American Petroleum Institute estimate that US crude inventories fell by 4.93 million barrels over the week.

December Brent futures on ICE Futures gained 1.3% to $110.2 a barrel by 08:15 Moscow time, Interfax reported. December WTI futures on NYMEX rose 1.17% to $98.96.

API also estimated that US gasoline inventories fell by 2 million barrels and distillate stocks by 2.6 million. The industry institute’s figures precede the official weekly US Energy Department report, which is expected later.

In the previous session, Brent fell to $108.79 a barrel and WTI to $97.82. Prices declined amid hopes of renewed US-Iran diplomacy after Iranian President Masoud Pezeshkian met Pakistani army chief Asim Munir.

Pezeshkian said Iran remained ready for dialogue but demanded that American threats and sanctions be lifted first, Interfax reported, citing Press TV.