Oil prices rose on Wednesday, for the third day in a row, and hit a 6-week high, after the release of preliminary data on US crude inventories that showed a drop, and ahead of the EIA's weekly report.

US crude rose 0.75% to the highest since August 3 at $71.27 a barrel, after opening at $70.74, and hit a low at $70.68, and Brent crude rose 0.7% to the highest since August 2 at $74.38 a barrel, after opening at $73.88, and hit a low at $73.80.

The US crude gained 0.2% yesterday, and Brent crude rose 0.3%, in the third straight gain, due to concerns about US supplies.

The American Petroleum Institute reported in preliminary data that the US crude inventories fell 5.4 million barrels during the week ending September 10, while analysts forecast a drop by 3.5 million barrels.

The total US commercial inventories fell to 430 million barrels, which is the lowest level since the week ending October 4, 2019, in a positive sign of the US domestic demand.

The US Energy Information Administration's official data will be released later today, amid forecasts for inventories to drop by 3.6 million barrels.

Gold prices fell on Wednesday, and pulled back from a week high on profit-taking, but today's loss is being curbed by falling dollar.

Gold prices fell 0.3% to $1,798.88 an ounce, after opening at $1,804.28, and hit a high of $1,804.64.

Gold closed higher by 0.6% yesterday, and hit a 1-week high at $1,808.66 after weak US inflation data.

The dollar index fell over 0.2% today against a basket of major rivals.

The greenback's drop comes on the back of weak inflation data in the US, which raised doubts about tightening the US monetary policy.

The data eased fears of rising inflationary pressures in the US, and led to a drop in the 10-year US Treasury bond yield, which fell more than 3% on Tuesday and hit a 3-week low at 1.263%.

Gold stocks at the SPDR ETF remained unchanged yesterday, with the total at the highest level since September 1st at 1,000.21 metric tonnes.

Sterling rose in European trade against a basket of major rivals, resuming gains after hiatus yesterday against dollar on profit-taking, while inflationary pressures mount on UK policymakers.

GBP/USD rose 0.25% to 1.3838, with an intraday low at 1.3792, after closing down 0.25% yesterday, the first loss in four days on profit-taking away from six-week highs at 1.3913.

UK consumer prices rose 3.2% in August, the highest rate since March 2012, passing estimates of 2.9%, while marking a 2.0% increase in July. 

The data increased pressure on UK policymakers and bolstered the case for a rate hike sooner than previously expected. 

Rapid UK vaccination efforts and relaxing shutdown measurements led to improvements in economic performance and raised chances of a rate hike next year.

US stock indices fell on Tuesday, after the release of disappointing inflation data.

The US consumer price index rose by 0.3% in August, lower than forecasts of 0.4%. 

The core reading (excluding food and fuel prices) rose by 0.1%, lower than forecasts of 0.3%.

Investors are anticipating the next move of the US Federal Reserve, especially after hinting at reducing the size of its bond-buying program before the end of 2021.

To the oil market, WTI crude October futures rose less than 0.1% or 1 cent, and closed at $70.46 a barrel.

Brent November futures rose 0.1% or 9 cents, and closed at $73.60 a barrel, after breaching the $74 barrier earlier today.

As for stocks, Dow Jones fell 0.8% or 292 points, and closed at 34,577, and hit a day high of 34,990, and a low of 34,510.

S&P 500 fell 0.6% or 25 points to 4,443, after hitting a high of 4,485 and a low of 4,435.

Nasdaq fell 0.4% or 67 points to 15,037 points, with a high of 15,181 and a low of 15,008.