Oil rises to $75 as U.S. inventory drop counters virus worry – Reuters

Oil rises to $75 as U.S. inventory drop counters virus worry – Reuters

LONDON, July 28 (Reuters) - Oil rose towards $75 a barrel on Wednesday ahead of an industry report expected to show U.S. crude inventories fell more than expected, bringing the focus back to a tight supply and demand balance rather than rising coronavirus infections.

U.S. crude stocks fell 4.7 million barrels, two market sources citing American Petroleum Institute figures said, more than analysts forecast. Official U.S. Energy Information Administration inventory figures are out at 1430 GMT.

"This price catalyst may inject some much-needed momentum into proceedings, especially after the API set a bullish tone," said Stephen Brennock of broker PVM, referring to the EIA report.

Brent crude rose 23 cents, or 0.3%, to $74.71 a barrel at 1200 GMT, after posting on Tuesday its first decline in six days. U.S. West Texas Intermediate (WTI) crude advanced 33 cents, or 0.5%, to $71.98.