![\"Oil-prices-near-1-year-highs-after-stocks-draw-supply-deficit-forecast-dailyrapidnews\"](\"https:\/\/dailyrapidnews.com\/eng\/wp-content\/uploads\/2021\/02\/Oil-prices-near-1-year-highs-after-stocks-draw-supply-deficit-forecast-dailyrapidnews-2.jpg\")
<\/p>\nBoth benchmark oil contracts were close to their highest in about a year on Wednesday, boosted by a draw in US crude and gasoline stocks, which fuelled demand recovery hopes as OPEC+ has forecast that the market will be in deficit in 2021.<\/p>\n
Brent crude futures were up $0.55, or 1%, at $58.01 a barrel at 1245 GMT, their highest in about 11 months.<\/p>\n
The contract\u2019s \u201cbackwardation\u201d structure, where oil for nearby delivery is more expensive than further forward, was near a one-year high at more than $2, indicating expectations of tighter supply.<\/p>\n
<\/p>\n
US West Texas Intermediate (WTI) crude futures climbed $0.4, or 0.7%, to $55.16 a barrel, having hit a one-year high at $55.28 a barrel earlier on Wednesday.<\/p>\n
The market was also bolstered by news that Democrats in the US Congress took the first steps toward advancing President Joe Biden\u2019s proposed $1.9 trillion coronavirus aid plan without Republican support.<\/p>\n
The API oil industry association reported US crude oil inventories fell by 4.3 million barrels in the week to January 29.<\/p>\n
Gasoline stocks fell by 240,000 barrels, defying analysts\u2019 expectations for a build of 1.1 million barrels. Distillate inventories also fell.<\/p>\n
US government inventory data is due at 1530 GMT.<\/p>\n
Prices were also buoyed by the latest assessment by the Organisation of the Petroleum Exporting Countries and allies that the oil market could be in deficit throughout this year, a document seen by Reuters on Tuesday showed.<\/p>\n
\u201cUnderpinning the bullish sentiment are tightening fundamentals. Ahead of today\u2019s ministerial meeting, OPEC+ hinted that global oil stockpiles will decline below the five-year average by June,\u201d PVM analysts said.<\/p>\n
The ministerial meeting will convene on Wednesday, although it is not expected to recommend any adjustments to oil output policy.<\/p>\n","protected":false},"excerpt":{"rendered":"
Both benchmark oil contracts were close to their highest in about a year on Wednesday,<\/p>\n","protected":false},"author":1,"featured_media":3726,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":""},"categories":[2],"tags":[],"class_list":["post-3725","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"yoast_head":"\n