Oil prices continue to strengthened on weaker US dollar and a reduction in US stocks.

The weak US dollar has been supporting raw materials, as denominated in the US currency, oil futures become cheaper for investors using other currencies.

In addition, quotes are supported by a strike in the Norwegian oil industry, threatening production in the North Sea.

US Energy Information Administration reported that crude oil inventories tumbled by 6.2 million barrels last week to 504.6 million, which was a surprise to market analysts that forecasted an increase of 3.35 million barrels.

The report also showed that gasoline stocks fell by 3.204 million barrels, compared with expectations of a decline by 0.567 million barrels, while distillate stocks rose by 2.238 million barrels.

Traders continue to assess the likelihood that major oil-producing countries will be able to agree on the level of production in order to stabilize the market.

OPEC members will discuss potential limitation of production in the course of an informal meeting on the sidelines of the International Energy Conference in Algiers on 26-28 September.

The cost of the November futures for US light crude oil WTI (Light Sweet Crude Oil) rose to 46.52 dollars per barrel on the New York Mercantile Exchange.

November futures price for North Sea petroleum mix of Brent crude rose to 47.83 dollars a barrel on the London Stock Exchange ICE Futures Europe.

Gold prices continue to rise and reached a fresh two-week high, as the US dollar fell to the Federal Reserve's decision to refrain from raising interest rates and reducing the forecast for the expected number of rate hikes next year.

On Wednesday, the Federal Reserve left interest rates unchanged. In addition, the Fed reduced the number of expected rate increases this year from two to one and predict the less aggressive growth of the interest rate for the next two years.

Nevertheless, the US central bank signaled that might tighten monetary policy until the end of the year, if the labor market continues to improve.

The next Fed meeting is scheduled for early November and mid-December. Economists believe that the bank officials will be able to avoid raising interest rates in November, partly because the meeting will take place just a few days before the US presidential election.

According Fed funds futures the estimated probability of a hike in November is 15% and 60% in December.

The gradual increase of the rate shall be less of a threat to the gold price

In the currency market, the USD index which tracks the greenback against a basket of six majors, fell by 0.45% to 95.05 from a six-week high in the previous session, 96.29.

Weak US dollar usually supports gold, as it boosts the metal's appeal as an alternative asset and decrease the price of dollar-denominated commodities for holders of other currencies.

The cost of the October futures for gold on COMEX rose to $ 1340.3 per ounce.

This morning, New York crude oil futures for WTI rose by 1.01% to $ 45.8 and Brent crude oil futures rose in price by 0.94% to $ 47.27 per barrel. Thus, the black gold is continuing to grow after an unexpected decline in US stocks volume third consecutive week. Oil rose after the US Energy Information Administration reported that oil reserves in the United States fell for the week ending 16 September 6.20 million barrels to 504.6 million barrels. It is worth noting that the experts predicted a growth of 3.4 million barrels.

(raw materials / closing price /% change)

Oil 45.62 +0.62%

Gold 1,339.00 +0.57%