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Oil is breaking out with biggest 2-day gain since November amid surprise drop in US crude stockpiles

Oil payments surged by about $3 a barrel over the last two days, pushed by a surprise drop in U.S. crude stockpiles and geopolitical concerns.

U.S. West Texas Middle crude ended Wednesday’s session at $65.17, up about 5 percent from Monday’s join of $62.06. That was the best two-day gain since the two sessions aimless Nov. 6, when WTI surged nearly 5.2 percent.

Meanwhile, universal benchmark Brent crude futures finished the session at $69.47, climb about 5.2 percent from Monday’s settlement at $66.05. That was also the maximum effort two-day performance since Nov. 6.

U.S. crude 5-day performance

The oil market out gains on Wednesday after U.S. government data showed the country’s stockpile of rustic fell by 2.6 million barrels. Analysts in a Reuters poll had calculated inventories to rise by 2.5 million barrels.

OPEC added to the bullish bulletin on Wednesday, announcing that a group of two dozen oil producers had cut production far beyond agreed-upon directs in February. The 14-member OPEC cartel, along with Russia and other states, is limiting output to drain a global glut of oil.

Tensions in the Middle East bear also bolstered oil prices.

President Donald Trump on Tuesday met with Saudi Circlet Prince Mohammed bin Salman at the White House. The president touted U.S. arms jumble sales to the kingdom in public remarks, just days after Prince Mohammed voted in a “60 Minutes” interview the Saudis would obtain a nuclear weapon if regional struggle with Iran develops one.

In just under two months, Trump could scuffle the 2015 Iran nuclear deal and reimpose sanctions on Iran, which could disorder oil flows from OPEC’s third-biggest producer.

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