FX.co ★ Oil Prices Recover On Crude Stock Drawdown

Oil prices rose on Wednesday, after having fallen sharply the previous day following an announcement from the Biden administration about more sales from the national oil reserve to fight inflation at the pump.

Brent crude futures for October delivery rose half a percent to $99.97 a barrel, while WTI crude futures for September settlement were up 0.7 percent at $95.64.

The price rise comes after industry data showed a healthy drawdown of stocks by the largest consumer in the world.

Data from the American Petroleum Institute showed U.S. crude stocks fell by about 4 million barrels last week, four times bigger than the decline predicted by analysts. The report also showed that gasoline inventories fell by 1.1 million barrels, compared with expectations for a build of 3.5 million barrels.

Official inventory data from the Energy Information Administration is due later in the session.

A softer dollar also boosted prices as investors eagerly await the Federal Reserve's impending rate hike.