Oil settles higher despite increase in US inventories, Brent above $86 a barrel

Oil drilling rigs

Oil prices gained today, Jan. 19, amid an upbeat outlook for crude demand, despite a sharp increase in the US crude inventories.

Brent futures for March delivery jumped 1.4% to $86.16 a barrel.

West Texas Intermediate (WTI) crude for February delivery closed 1.1 % to reach $80.33 a barrel, after falling nearly 1% in the previous session.

The American Petroleum Institute’s estimates showed that crude inventories in the US rose by 7.6 million barrels last week. The official data by the Energy Information Administration is due later today.

Meanwhile, the International Energy Agency said that global oil consumption will reach a record daily average in 2023.