The U.S. Energy Information Administration (EIA) revealed on Wednesday that crude inventories decreased by 0.745 million barrels in the week ended November 20. Economists had forecast a build of 0.127 million barrels.

At the same time, gasoline stocks rose by 2.200 million barrels, while analysts had expected a gain of 0.614 million barrels. Distillate stocks fell by 1.400 million barrels, while analysts had forecast a decrease of 1.586 million barrels.

Meanwhile, oil production in the U.S. increased by 100,000 barrels a day to 11.000 million barrels a day.

U.S. crude oil imports averaged 5.2 million barrels per day last week, down by 26,000 barrels per day from the previous week.

FXStreet reports that Brent Crude Oil is gaining upward momentum after having been rangebound for months and strategists at Credit Suisse see scope for strength to extend towards $60 should the market see a weekly close above the $46.53 August high.

“Brent Crude has pushed strongly higher after holding the 38.2% retracement of the whole April/September upmove at $34.86 and is now pushing above its $46.53 August high. A weekly close above here would resolve the May-November range higher, with resistance seen next at the 61.8% retracement of the Q1 fall at $50.45, ahead of $55.88 and then the 78.6% retracement and February 2020 high at $59.82/60.00.”

“Whilst we would expect the $60.00 mark to prove a tougher barrier, should strength directly extend, this can expose the $71.75 high for the year.”

“Support at $42.63 now ideally holds to keep the immediate risk higher."