18.10.202319:04:00UTC+00Oil Futures Settle Sharply Higher On Supply Concerns

Crude oil prices rose sharply on Wednesday amid rising concerns over supplies as geopolitical concerns escalated after a huge explosion at a Gaza hospital.

Data showing an improvement in Chinese economic growth supported oil prices. Official data showed China's GDP grew at a 4.9% annual pace in July-September, down from 6.3% in the previous quarter but above forecasts for a 4.4% increase.

Retail sales and industrial output figures for September also surprised on the upside, suggesting that Beijing's stimulus measures to prop up banking and property sectors are gaining traction.

West Texas Intermediate Crude oil futures for November ended higher by $1.66 or about 1.9% at $88.32 a barrel.

Brent crude futures settled at $91.50 a barrel today, gaining $1.60 or about 1.8%.

Data from U.S. Energy Information Administration (EIA) showed crude inventory in the U.S. fell by 4.491 million barrels in the week ended October 13, after rising by 10.176 million barrels a weak ago.

Tje EIA data showed gasoline stockpiles fell by 2.37 million barrels last week, while distillate stockpiles dropped 3.185 million barrels.

The American Petroleum Institute reported late Tuesday that U.S. crude stocks fell by about 4.4 million barrels in the week ended Oct. 13, in another sign of tight supplies.

Gasoline inventories dropped by 1.6 million barrels, while distillate inventories fell by about 610,000 barrels.