Brent crude today hit a new three-year high this morning, jumping 1% to hit $85 per barrel.
It comes amid the rising demand and surging gas prices drive up oil.
Edward Moya, Senior Market Analyst, The Americas, OANDA, said: “The commodity boom is still in place, but crude prices had to pare gains after US stockpiles posted a surprisingly huge build. The EIA crude oil inventory report posted a headline 6.1-million-barrel increase, much more than the anticipated 521,000 expected build.
“There is a lot in this report, but the three big takeaways are that inventories posted a big build as refinery runs plunged, but some of that could be attributed to seasonal maintenance. Secondly, US production ticked higher and it will probably continue to do so, but will not come anywhere near the levels seen during the Trump administration.
“Lastly, demand was mixed; jet fuel demand weakness remains, distillate demand impresses as supply chain issues are keeping truck drivers busy, while gasoline increased but still nowhere near pre-pandemic levels.”