Oil prices rise after data shows big drop in U.S. inventories

TOKYO, Sept 11 (Reuters) - Oil prices rose on Wednesday
after an industry report showed that crude stockpiles in the
U.S. fell last week by more than twice the amount that analysts
had forecast.
Brent crude futures LCOc1 rose 43 cents, or 0.7%, to
$62.81 a barrel by 0053 GMT, while WTI futures were up 47 cents,
or 0.8%, to $57.87 a barrel.
Prices had ended lower on Tuesday, squeezed by speculation
of a return of sanctions-hit Iranian crude exports to the market
following United States President Donald Trump's move to fire
national security adviser John Bolton, a noted Iran policy hawk.
But they rebounded after American Petroleum Institute (API)
data released late on Tuesday showed U.S. crude and gasoline
stocks fell last week, while distillate stocks built.
"The U.S. hasn't changed its tune yet (on Iran) and the
Saudis are really trying to tighten inventories," said Greg
McKenna, strategist at McKenna Macro. "Just look at the API draw
this morning – another 7 million plus (barrels) drawdown."
The API numbers showed crude inventories fell by 7.2 million
barrels in the week ended Sept. 6 to 421.9 million, compared
with analysts' expectations of a decrease of 2.7 million
barrels. API/S
Crude stocks at the Cushing, Oklahoma, delivery hub fell by
1.4 million barrels, the API said, while refinery crude runs
rose by 208,000 barrels per day.
Meanwhile gasoline stocks fell by 4.5 million barrels,
compared with analysts' expectations of a 847,000-barrel decline
in a Reuters poll.
Prices had risen sharply before Bolton's removal, boosted
after Prince Abdulaziz bin Salman, Saudi Arabia's new energy
minister, said the kingdom's policy would not change and a deal
with other producers to cut oil output by 1.2 million barrels
per day would be maintained. Iran's crude oil exports were slashed by more than 80% due
to re-imposed sanctions by the United States after Trump exited
last year Iran's 2015 nuclear deal with world powers.