Oil prices edged lower in Asian trading on Thursday after hitting seven-week highs, as a surprise decline in U.S. crude inventories added to signs of tighter supply, while heightened geopolitical tensions over Russia kept a risk premium in the market.
As of 21:23 ET (01:23 GMT), Brent Oil Futures expiring in November fell 0.3% to $69.09 per barrel, while West Texas Intermediate (WTI) crude futures slipped 0.4% to $64.72 per barrel.
Both benchmarks jumped over 2% to a seven-week high in the previous session after the U.S. Energy Information Administration (EIA) released its weekly data.
US crude stockpiles drop unexpectedly - EIA Data from the U.S. Energy Information Administration (EIA) showed crude inventories fell by 607,000 barrels in the week to Sept. 19, confounding analysts who had forecast a build of around 800,000 barrels.
Gasoline stocks declined by 1.1 million barrels to 216.6 million. Distillate fuel inventories, which include diesel and heating oil, fell by 1.7 million barrels to 123 million.
The draw reflected stronger refinery runs and modestly firmer demand for gasoline and distillates.
Geopolitical tensions in Russia support oil prices Adding to supply concerns, U.S. President Donald Trump on Tuesday struck a more hawkish tone toward Russia in remarks at the United Nations.
He warned European nations against continuing to buy Russian oil and said Washington was considering new sanctions that could target energy flows. While no immediate measures were announced, the rhetoric heightened geopolitical risk in the market, with concerns that tougher sanctions could disrupt Russian exports or trigger retaliatory supply actions.
Recent attacks by Ukraine on Russia’s energy infrastructure have also sparked fears of reduced Russian oil flows, likely pushing prices higher.
