Oil extends rally for 3rd straight session amid USD weakness

Oil benchmarks on both sides of Atlantic ticked higher on Thursday, extending its winning streak into a third day after a surprise USS crude inventories drawdown.

Oil gains on falling stockpiles, weaker USD

Currently both crude benchmarks are extending gains, with WTI rallying +0.95% to $ 38.11 while the Brent oil rises +0.75% to $ 40.14. Oil prices extend further into the green, territory, after having jumped over 5% on Wednesday, as oil markets cheer the surprisingly positive EIA crude reserves report, which revealed that the US crude stocks fell by 4.94 million barrels over the week to April 1, after seven straight weeks of expansion. While markets had predicted a rise of about 3 million barrels for last week.

Moreover, looming April 17 Doha meeting over the oil output freeze talks, also continues to underpin the sentiment around the black gold. Further, the ongoing broad USD weakness, reinforced by the more dovish than expected FOMC minutes, also boosts the dollar-priced in commodity.