U.S. Crude Oil Hits Highs of the Year

U.S. crude oil futures extended their three-month-long rally, bringing them to their highest level of the year.

Futures were trading at $92.27 a barrel, up about 2% from yesterday’s close and more than 30% since June. The jump extended a run-up in prices that began in early July, after production cuts made by OPEC and its allies reduced global oil supplies to a level below demand.

Today’s move appears to be fueled in part by an American Petroleum Institute survey released after yesterday’s close that showed crude oil inventories in Cushing, Okla. declining to a 14-month low. Cushing is the delivery location for the settlement of U.S. crude futures contracts. Futures on Brent crude oil, the international benchmark, were also trading higher, but were lagging those on U.S. crude.

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