Oil rises ahead of US inventories data

Oil prices edged higher on Wednesday as US dollar declined to its lowest level in more than two and a half years, and ahead of the release of data on US stockpile.

US Treasury Secretary Steven Mnuchin said that $600 stimulus checks could begin arriving in people’s bank accounts by late Tuesday.

Investors are also following the developments of the new coronavirus strain, as the US recorded its first infection in less than two weeks after it was first reported in the United Kingdom.

In terms of trading, Brent crude was up 0.5% at $51.21 per barrel, at 9 am Makkah time.

The US West Texas Intermediate rose 0.3% to $48.13 a barrel.

According to data from the American Petroleum Institute, oil inventories in the US decreased by 4.78 million barrels in the week ending Dec. 25.

Official inventory data from the US Energy Information Administration is due for release later today.