Oil Extends Gains on Signs U.S. Crude Stockpiles Resume Declines

Oil extended gains to trade above $57 a barrel as U.S. industry data showed crude stockpiles resumed declines.

January futures rose as much as 0.6 percent in New York after advancing 0.7 percent on Tuesday. Inventories fell by 6.36 million barrels last week, the American Petroleum Institute was said to report. Energy Information Administration data on Wednesday is forecast to show supplies slid by 2.2 million barrels, according to a Bloomberg survey, which would be the first decline in three weeks.

Oil is trading near a two-year high before the Organization of Petroleum Exporting Countries meets in Vienna next week to decide on an extension of supply cuts past the end of March. Saudi Arabia reduced its crude exports in September to the lowest level since March 2011, according to official data submitted to the JODI global database.

West Texas Intermediate for January delivery gained as much as 33 cents to $57.16 a barrel on the New York Mercantile Exchange and was at $57.05 at 7:25 a.m. in Hong Kong. Total volume traded was about 92 percent above the 100-day average. The contract added 41 cents to $56.83 on Tuesday.

Brent for January settlement rose 35 cents, or 0.6 percent, to $62.57 a barrel on the London-based ICE Futures Europe exchange on Tuesday. The global benchmark crude ended the session at a premium of $5.74 to WTI.