Oil futures climbed Wednesday, reaching their highest closing price in over a week.
The rally was fueled by a new report from the U.S. Energy Information Administration showing a sixth consecutive weekly decline in domestic commercial crude inventories.
Stockpiles at the nation’s strategic petroleum reserve also saw another significant drawdown, tightening overall supply.
Analysts noted that the ongoing closure of the Strait of Hormuz continues to strain global oil availability.
“Oil tanks are getting emptier each week Hormuz stays closed,” one market observer remarked, highlighting the persistent risk to supply lines.
Traders also weighed shifting hopes for a potential peace deal that could ease geopolitical tensions and impact future output.
The combination of shrinking U.S. reserves and sustained geopolitical uncertainty kept upward pressure on crude prices.
The EIA’s data reinforced expectations for a tighter market as summer driving demand approaches.
Wednesday’s settlement marked the third straight day of gains for oil benchmarks.
