Oil prices steadied this evening as traders absorbed a mixed report on energy stockpiles in the US, the world's leading energy consumer. US crude was unchanged at $74.71 a barrel, while London's Brent gained six cents to $73.35.
The US government's Department of Energy (DoE) said today that crude oil inventories plunged 3.9 million barrels in the week to January 22. Analyst had expected an increase.
But the DoE also revealed that stockpiles of distillates - including diesel and heating fuel - rose by 400,000 barrels last week. This was also unexpected as analysts had forecast a sharp drop. Petrol reserves increased by a bigger than expected two million barrels.
A fall in stockpiles is usually seen as an indicator of stronger demand.
Oil slumped last week on concerns about Chinese economic policy and after President Obama unveiled plans to crack down on the US financial sector, hitting investor confidence.
