Oil Rises With Shrinking U.S. Supplies and Broader Market Gain
- Brent futures rise 2.5% to settle at the highest since July 30
- Goldman sees $90 oil if coming winter is colder than normal
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Oil advanced after U.S. crude inventories slid to the lowest since October 2018 amid a global energy crunch expected to increase demand.
Futures in New York rose 2.5% on Wednesday. Domestic crude stockpiles fell for a seventh straight week to about 414 million barrels, according to an Energy Information Administration report. Meanwhile, U.S. equities gained as concerns about China Evergrande Group’s debt woes eased. The bullish news overshadowed Federal Reserve officials signaling they would probably begin tapering their bond-buying program soon.