U.S. oil futures edged slightly lower on Thursday after jumping 2.6% in the previous session as crude inventories fell for the third week in a row.
U.S. commercial crude inventories fell by 4.9 million barrels last week, though gasoline stocks rose by 3.3 million barrels and motor fuel demand weakened by 615,000 barrels per day.
Here are today's energy prices:Falling oil inventories, geopolitical tensions in the Middle East, seasonal demand and expectations of lower interest rates have all coincided to push oil prices higher in recent weeks, Bart Melek, head of commodity strategy at TD Securities, told clients in a note late Wednesday.
"However, we don't expect the current rally to be sustained," Melek said.
But the market will be volatile as hurricanes, uncertainty in the Middle East, policy in China, and statements from OPEC all have the to potential to move prices, according to Melek.
Persons:
Bart Melek, Melek, Brent
Organizations:
TD Securities, West Texas Intermediate
Locations:
China