2018-11-21
Oil rose about $ 1 a barrel on Wednesday, reversing some of the previous six-percent loss, supported by a report of an unexpected drop in US crude oil inventories and India's record crude imports.
 
But investors remain concerned, with the International Energy Agency warning of an unprecedented haze in oil markets due to the difficult economic environment and political risks.
 
Brent crude for June delivery was $ 1.07, up 1.7 percent from the previous close.
 
West Texas Intermediate crude futures rose 1.03 dollars, or 1.9 percent, to 54.46 dollars a barrel.
 
The rise comes on Wednesday after a report by the US Petroleum Institute on Tuesday evening said that crude oil inventories in the United States fell unexpectedly last week by 1.5 million barrels to 439.2 million barrels in the week ending November 16.
 
Traders say India's record crude oil imports of around 5 million bpd have also supported prices.
 
But Wednesday's rally did not offset the market's overall weakness as crude fell more than 6 percent in the previous session as global equity markets sold.
 
"The global economy is still going through a very difficult period and it is very fragile," said Fatih Birol, director of the International Energy Agency (IEA) on Tuesday.