Mr. Sriram Iyer, Senior Research Analyst at Reliance Securities
International oil prices rebounded on Wednesday even after U.S. oil inventories rose week on week.
Domestic crude oil futures also ended marginally higher on Wednesday, tracking overseas prices.
Crude inventories rose by 3.3 million barrels in the week to July 8 to 423.8 million barrels.
On the product side, U.S. gasoline stocks rose by 5.8 million barrels in the week to 219.1 million barrels while distillate stockpiles which include diesel and heating oil, rose by 2.7 million barrels in the week.
The implied product supplied slumping to 18.7 million bpd, its lowest since June 2021.
The Dollar too rebounded, while renewed COVID-19 curbs in China has kept upside capped on Wednesday.
Meanwhile, the International Energy Agency (IEA) trimmed its global demand forecast for 2022 by 240,000 bpd from an earlier call to 99.2 million bpd. It also cut its demand outlook for 2023, lowering its estimate 280,000 bpd to 101.3 million bpd.
OUTLOOK - Crude Oil
International prices have started flat on Thursday morning in Asian trade.
The possibility of a rate hike by the U.S. Fed, stronger dollar and worries of COVID-19 curbs in China could weigh on demand and keep upside limited.
Today's range for NYMEX August contract is $94.00-$100.25.
Domestic crude oil prices could start flat on Thursday morning.
Today's range for MCX July contract is 7545-7800.