Oil Prices Close Higher Despite U.S. Inventory Report

The price of Brent crude from the North Sea rose to $85.25 per barrel, and U.S. West Texas Intermediate (WTI) increased to $80.90 per barrel after the market ignored the U.S. crude inventory report.

Oil prices closed higher on Wednesday, supported by speculative buyers who disregarded the U.S. inventory report that indicated a drop in demand.

In London, Brent crude for August delivery rose 0.28% to $85.25 per barrel.

Meanwhile, in New York, West Texas Intermediate (WTI) for the same month gained a marginal 0.08% to close at $80.90 per barrel.

The market ignored the U.S. crude inventory report, which showed an increase of 3.6 million barrels for the week ending June 21, according to data released Wednesday by the U.S. Energy Information Administration (EIA).

This increase contrasts with analysts’ expectations, who had anticipated a decrease of 2.8 million barrels during the period, according to the consensus established by Bloomberg.

It was the proximity to the $80 mark for WTI that triggered a technical rebound. Speculators positioned themselves to defend the $80 level, and they did so effectively. However, there is no catalyst to justify the price increase.