The benchmark crude, WTI, has surged 3.01% to $93.11 at the time of writing. Prices are now at 52-week highs, and if the supply tightness in the market continues, the climb could continue as well. However, the possibility of a U.S. government shutdown is keeping traders on edge.
Numbers from the American Petroleum Institute indicate a fall of nearly 1.59 million barrels in U.S. commercial stockpiles during the week ending September 22. Additionally, numbers from the Energy Information Administration (EIA) point to a decline of nearly 2.2 million barrels in crude inventories during the same period. In comparison, the Street had anticipated a decrease of only 1.32 million barrels for the week.
Meanwhile, natural gas is up 3.17% to $2.94 today. Expectations of rising demand for cooling have pushed natural gas 11% higher over the past five sessions. However, prices remain 58% lower over the past year.
Is USO a Good Investment?
The United States Oil Fund ETF (USO) has gained nearly 19.6% so far this year, and robust global demand for oil could push prices even higher.
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