2017.06.2200:31:00UTC+00Crude Prices Gets Boost from U.S. Inventory Drawdown

Oil prices advanced as a report showed a decline in U.S. crude and gasoline inventories. However, concerns regarding whether OPEC-initiated production cuts would be effective enough to curb a prevalent glut in the market continued to weigh on sentiment.

Crude inventories dropped 2.5 million barrels in the latest week, topping estimates for a fall of 2.1 million barrels as imports increased by 56, 000 bpd, according to the U.S. EIA.

Comments from Iran's oil minister that OPEC members are mulling deeper production cuts were brushed off by markets.

Brent crude futures traded 4 cents up at $44.86 per barrel, after sliding 2.6 percent in the prior session to their lowest level in several months. Meanwhile, U.S. crude futures traded up 6 cents at $42.59 per barrel. The U.S. benchmark ended down at $42.53 in the previous session, after hitting their lowest intraday level since August last year.