Oil extends gains after US inventories data, Brent nears $49

Oil prices rose on Wednesday, as the US dollar fell against its peers, and following an unexpected drop in the US crude inventories data.

The US Energy Information Administration reported today that crude inventories fell 800,000 barrels to 488.7 million barrels during the past week, beating forecasts of a rise by 100,000 barrels.

While the American Petroleum Institute (API) revealed yesterday in preliminary data that the US crude inventories rose 3.8 million barrels during the same period.

The dollar index fell against a basket of major currencies by 0.3% to 91.9 points as of 18:15 GMT, after hitting a high of 92.2 points and a low of 91.9 points.

As of 18:11 GMT, WTI crude December futures rose 2.5% to $46.04 a barrel, after hitting a high of $46.1 and a low of $44.7.

Brent January futures rose 2.1% to $48.8 a barrel, after hitting a high of $48.9 and a low of $47.7.