WTI, Brent prices substantially higher

Crude oil prices were up substantially on Thursday as concerns persist that supplies will be tight for the summer driving season in the United States. Wednesday’s new figures on US inventories showed that stockpiles declined last week at twice the rate that had been expected. Gasoline in storage dropped 3.4 million barrels in the week ending March 16, when they had only been expected to decline by 1.7 million barrels. There are also worries that China’s consumption of oil and oil products will outstrip supply.

Brent crude for May delivery on the Intercontinental Exchange added $1.46 on the day to $62.23 per barrel, while May contracts for West Texas Intermediate Crude gained $1.71 to $61.32 per barrel. Meanwhile, an OPEC official has said that it hopes to keep prices at around current levels, which he called “reasonable”, in order to develop alternative sources of energy and to support investment.