Oil prices rose this evening after a US government report showed a bigger than expected decline in US crude stockpiles. US crude rose $1.28 to $72.21 a barrel, while Brent rose 97 cents to $70.83.
US commercial crude oil inventories dipped last week by 4.7 million barrels, against expectations of a 2.4 million barrel drop, according to a report from the US Energy Information Administration.
The decline, linked to a slowdown in imports, came alongside increases in petrol and distillate stock - a combination that analysts said could hurt the profitability of US oil refiners.
Other commodities and equities also rose strongly, inspired by a comment from US Federal Reserve Chairman Ben Bernanke that an economic recovery was gaining momentum - a signal demand for raw materials may rebound.
Oil also got a boost from weakness in the US dollar, which hit a one-year low against a basket of currencies as investors turn to riskier assets. A weaker dollar can also fuel purchases of oil and other dollar-denominated commodities, as they become relatively less expensive to non-dollar holding investors.
