Oil climbs on fall in US crude stocks

Oil prices jumped today, powered by a heavy drain on US crude stocks in a market already nervous over a halt in Iraqi crude exports…

Oil prices jumped today, powered by a heavy drain on US crude stocks in a market already nervous over a halt in Iraqi crude exports.

International benchmark Brent crude for July delivery was trading 23 cents higher at $29.69 a barrel while NYMEX July crude stood at $29.51, rising 33 cents.

The gains were prompted by a report that US crude stocks posted their third largest weekly decline since at least 1984.

Weekly inventory data from industry group American Petroleum Institute (API) showed US crude stocks falling 13.2 million barrels to 312.2 million barrels.

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The larger-than-expected fall was attributed to a delay in tanker loadings caused by foul weather at a major crude oil import terminal in Louisiana.

But US crude stocks were still 17 million barrels above last year's lean levels.

Traders are now waiting for the weekly crude and product stock report from the US Energy Information Administration today (EIA) to see if it confirms the API figures.

A rise in US gasoline stocks helped put a cap on price increases as the API report showed a 6.3 million barrel gain to 215.6 million barrels.