Oil rises after Fed meeting, US crude stockpiles data

Oil drilling rigs

Oil prices rose today, Nov. 2, after data on crude stockpiles in the US and the Fed interest rate decision.

Brent crude closed up 1.6% at $96.16 a barrel, while West Texas Intermediate (WTI) crude rose 1.8% to $90 a barrel.

The US Federal Reserve lifted interest rates by 75 basis points (bps) in line with its efforts to control inflation in the US. The Fed indicated that future decisions will take into account the cumulative tightening of the monetary policy, the delay in how monetary policy affects economic activity and inflation, and economic and financial developments.

Data from the US Energy Information Administration revealed that crude oil inventories fell by 3.1 million barrels in the week ended Oct. 28, exceeding expectations for a drop of 200,000 barrels. Gasoline stocks fell 1.3 million barrels last week, while distillate stocks rose 400,000 barrels. Meanwhile, US crude exports witnessed a strong decline from the record level in the week before last, after they fell by 1.2 million barrels at 3.925 million barrels per day.