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Oil Extends Gains as Report Points to Shrinking US Stockpiles - BLOOMBERG
BY Yongchang Chin
(Bloomberg) -- Oil extended gains after an industry report signaled a big draw in US crude stockpiles as an ongoing dispute halts exports from Turkey.
West Texas Intermediate futures rose for a third session toward $74 a barrel, with easing concerns over the banking crisis adding to bullish sentiment. The American Petroleum Institute reported crude inventories dropped by 6.1 million barrels last week, according to people familiar with the data. That will be the biggest decline this year if confirmed by government figures later Wednesday.
The US is urging Iraq and Turkey to resume exports from the port of Ceyhan after a dispute involving Kurdish authorities halted around 400,000 barrels a day of shipments, tightening the market. However, Iraq’s government said it’s up to Kurdistan to break the deadlock.
Oil is still on track for a fifth monthly decline after concerns over a potential US recession and resilient Russian energy flows weighed on prices. OPEC+ is showing no signs of adjusting production when it meets next week, staying the course amid turbulence in financial markets, delegates said.
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