U.S. Crude Output Returns to Record as WTI Trades Above $102

WTI was back above $102 a barrel as oil prices rose Wednesday, while U.S. crude production rebounded to a new record after hurricane-driven shutdowns, putting supply trends and Middle East risks in focus.

Yemen’s Houthi militants said Tuesday they targeted the Ras Tanura refinery in Saudi Arabia’s Eastern Province with a ballistic missile. Ras Tanura is the kingdom’s largest oil refinery.

U.S. crude inventories declined 1.89 million barrels for a fourth straight week. Stocks at Cushing, Oklahoma, fell 624,000 barrels. The latest weekly decline follows a 3.06 million-barrel crude draw covered earlier by TokenPost.

Gasoline inventories gained 3.87 million barrels, while distillate stocks fell 1.46 million barrels. Crude exports came close to 5 million barrels a day, their highest level since late May, and distillate inventories remained at a seasonal record low.

Weekly U.S. gasoline demand fell by 624,000 barrels a day, dropping below its five-year seasonal range. The average retail gasoline price was $4.25 a gallon, 25 cents below its late-September level.

Oil prices remain sensitive to developments in the Persian Gulf and any U.S. action after the midterm elections.