US Inventories Lead to Major Gains for Oil

The price of oil shot up following a significantly lower than expected US crude oil inventories figure yesterday. US stockpiles dropped by 5.4 million barrels last week, signaling to investors that demand in the world's largest oil consuming country has increased. As a result, oil increased by just under $1 a barrel to trade as high as $97.13. Today, oil traders will want to pay attention to a batch of euro-zone and US indicators scheduled to be released throughout the day. Any positive news may lead to additional risk taking in the marketplace, which could help the price of oil increase further before markets getting ready to close for the weekend.

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