Oil prices advanced on Thursday as traders digested U.S. fuel stockpiles data and OPEC+'s latest decision on output.
For July delivery, the West Texas Intermediate added 1.61 U.S. dollars, or 1.4 percent, to settle at 116.87 dollars a barrel on the New York Mercantile Exchange. Brent crude for August delivery increased 1.32 dollars, or 1.1 percent, to close at 117.61 dollars a barrel on the London ICE Futures Exchange.
OPEC+ Agrees to Significant Oil Output Increases in July
The rally came despite a decision by the Organization of the Petroleum Exporting Countries (OPEC) and its allies, collectively known as OPEC+, to boost output by a larger amount in July.
The group on Thursday agreed to increase oil production by 648,000 barrels per day (b/d) in July, higher than its previous monthly increases of 432,000 b/d.
Meanwhile, prices garnered support from a larger-than-expected drop in U.S. crude stocks.
The U.S. Energy Information Administration reported Thursday that the nation's crude inventories fell by 5.1 million barrels during the week ending May 27. Analysts polled by The Wall Street Journal had forecast U.S. oil inventories to decline by 500,000 barrels.