Oil prices mixed, West Texas boosted by low US supply levels

Investing.com – Oil prices traded mixed on Thursday, as U.S. crude rose for a third straight session, supported by low U.S. inventory levels.

West Texas Intermediate crude futures traded in New York gained 26 cents, or 0.37 percent, to $71.03 a barrel by 5:06 AM ET (9:06 GMT).

Meanwhile, Brent crude futures, the benchmark for oil prices outside the U.S., fell 7 cents, or 0.09 percent, to $79.33.

The Energy Information Administration reported on Wednesday that crude oil inventories hit a 3.5-year low, while gasoline inventories saw a much larger-than-expected drawdown.

Meanwhile, eyes were on Iran as US sanctions impacted supply. Bloomberg reported on Tuesday that Iran’s oil exports have fallen 35 percent since May, when US President Donald Trump announced harsh sanctions on the producer that will take effect in November.

OPEC and other non-OPEC members led by Russia are due to meet in Algeria on Sunday to discuss how to share supply increases to offset the loss of Iranian supply, although sources told Reuters no immediate action was planned.

However, de facto OPEC leader Saudi Arabia said on Tuesday that the country was comfortable with oil prices above $80, signaling that the top oil producer may not increase production to lower the price.

In other energy trading, gasoline futures gained 0.26 percent to $2.0283 a gallon by 5:13 AM ET (9:13 GMT), while heating oil rose 0, 39% to $2.2554 per gallon.

Finally, natural gas futures fell 0.24 percent to $2.901 per million British thermal units.

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