Oil prices jumped more than 1 percent on Wednesday after a U.S. report showed a bigger weekly draw than forecast in crude and gasoline stocks along with a surprise drop in distillate inventories.
The Energy Information Administration (EIA) said U.S. crude stocks fell 4.7 million barrels during the week ended July 14. , exceeding estimates for a 3.2 million draw in a Reuters poll.
U.S. West Texas Intermediate (WTI) crude futures ended the session 72 cents, or 1.6 percent, higher at $47.12 per barrel, the best closing price since June 6.
Brent crude futures, the international benchmark for oil prices, were up 84 cents, or 1.7 percent, at $49.68 per barrel by 2:35 p.m. ET (1835 GMT).
"The report was more good news for the oil industry as inventories declined across the board for crude and products by over 10 million barrels," Andrew Lipow, president of Lipow Oil Associates in Houston said.
EIA said distillate stocks decreased 2.1 million barrels and gasoline stocks declined 4.4 million barrels. Analysts polled by Reuters had forecast a 1.2 million barrel build in distillates and a 0.7 million barrel draw in gasoline.