U.S. West Texas Intermediate (WTI) crude futures leapt 60 cents, or 0.9%, to $66.29 a barrel at 0130 GMT, after climbing to $66.45, its highest since March 8.
Brent crude futures jumped 58 cents, or 0.8%, to $69.46 barrel after touching a greater than seven-week excessive of $69.64.
Both benchmark contracts rose almost 2% on Tuesday forward of knowledge from the American Petroleum Institute business group.
API figures confirmed crude shares fell by 7.7 million barrels in the week ended April 30, in accordance with two market sources. That was greater than triple the drawdown anticipated by analysts polled by Reuters.
“This should provide some further immediate upside momentum for the market,” ING Economics analysts stated in a word.
Traders are awaiting information from the U.S. Energy Information Administration due at 10:30 a.m. EDT (1430 GMT) on Wednesday to see if official information reveals such a big drawdown.
“If confirmed by the EIA, that would mark the largest weekly fall in the official data since late January,” Commonwealth Bank analyst Vivek Dhar stated in a word.
The rise in oil costs to just about two-month highs has been supported by COVID-19 vaccine rollouts in the United States and Europe paving the way in which for pandemic lockdowns to be lifted and air journey to select up.
So far that has greater than offset a drop in gas demand in India, which is battling a surge in infections.
“However, if we were to eventually see a national lockdown imposed, this would likely hit sentiment,” ING analysts stated of the state of affairs in India.