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Crude oil futures closed higher Wednesday, Aug. 10, after gasoline inventories in the U.S. fell the most in 10 months, suggesting that fuel demand in the U.S. remains strong.
- WTI crude futures were up $1.43, or 1.6%, at $91.93 a barrel.
- BRENT crude futures were up $1.09, or 1.1%, at $97.40 a barrel.
Crude oil futures rose after the U.S. Energy Information Administration (EIA) announced that gasoline inventories fell by 5 million barrels last week. This is the largest drop in 10 months.
However, crude oil inventories increased by 5.5 million barrels and refined oil inventories, including fuel oil and diesel, by 2.2 million barrels.
Crude oil futures took a positive turn as investors eased concerns about an interest rate hike by the Federal Reserve as the consumer price index (CPI) rose 8.5% year-on-year after reaching 9.1% in June, the highest level in 40 years.
The market was also driven by the depreciation of the dollar. The dollar index against the six major currencies in a basket of currencies fell by 1.11% to 105.1960.
A weakening dollar will make dollar-denominated oil contracts cheaper for investors holding other currencies.
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