WTI off $49.00 on OPEC deal, EIA

Crude oil prices keep the upside well and sound on Wednesday, with the West Texas Intermediate up more than 7% to levels above the $48.00 mark per barrel at the time of writing.

WTI boosted by OPEC deal, EIA adds to gains

Prices for the WTI rallied today after the OPEC members have managed to clinch a deal to cut the oil output by 1.2 mbpd to 32.5 mbpd. The deal, however, is being drafted at the moment, while traders are eagerly waiting for the press conference due at 16GMT.

OPEC delegates have also informed that members are planning to meet with non-OPEC producers during next week. Further news from the meeting today noted Indonesia has been removed from the crude oil cartel and its share will be distributed among its members.

Additionally, the EIA’s weekly report showed US crude inventories have decreased by nearly 900K barrels, while Gasoline inventories increased by almost 2.1 million barrels. Furthermore, supplies at Cushing unexpectedly rose by more than 2.4 million barrels, coinciding with yesterday’s API report in this regard.

WTI levels to consider

At the moment the barrel of WTI is advancing 7.19% at $48.48 facing the next hurdle at $49.22 (high Nov.22) and then $50.54 (high Jun.22). On the other hand, the next support is located at $44.82 (low Nov.30) followed by $44.55 (low Nov.18) and then $43.81 (low Nov.14).