U.S. Crude Oil Futures Rise Amid Geopolitical Tensions

U.S. crude oil futures rose in post-settlement trading on Tuesday, even as the American Petroleum Institute (API) reported a smaller-than-expected decline in weekly domestic crude stocks.

Crude Oil WTI Futures, the U.S. benchmark, recently traded at $70.75 a barrel following the report, after settling up 2.4% at $69.83 a barrel. Oil prices found support from rising fears of supply disruptions in the Middle East, particularly after a missile attack launched by Iran against Israel, which promised to retaliate.

According to the API, U.S. crude inventories decreased by about 1.46 million barrels for the week ended September 27, compared to a draw of 4.3 million barrels reported the previous week. Economists had expected a decline of approximately 2.1 million barrels.

In addition, gasoline stockpiles increased by about 909,000 barrels, while distillate inventories (which include diesel and heating oil) fell by 2.67 million barrels.

The official government inventory report is expected to be released Wednesday at 10:30 a.m. EST (1530 GMT).