Oil gains over 2% at settlement

Oil drilling rigs

Oil prices rose at the close of trading today, Oct. 22, supported by signs of strength in US energy consumption and hopes for an end to trade tensions.

Brent crude futures for December delivery rose 2.10%, or $1.27, to $62.59 a barrel. West Texas Intermediate (WTI) crude futures for December delivery also added 2.20%, or $1.26, to $58.50 a barrel.

Data released by the US Energy Information Administration today revealed that commercial crude oil inventories fell by one million barrels last week, contrary to expectations of a similar increase.

Investors are closely following developments in the trade talks between the US and China, as officials from the two countries are scheduled to meet this week in Malaysia.

Despite the prevailing optimism about the talks, Reuters reported that Washington is considering restricting exports to China of products made using US software.

Market concerns about supply prospects also increased after news of the postponement of a bilateral summit between US President Donald Trump and his Russian counterpart Vladimir Putin, along with Western pressure on Asian buyers to reduce oil imports from Moscow.