WTI Crude Oil Climbs Toward $75.00 on Sharp Drop in US Stockpiles

WTI Crude Oil Gains as US Stockpiles Drop More Than Forecast

West Texas Intermediate (WTI) crude oil moved higher in Friday’s Asian session, trading near $75.00, as investors reacted to the latest EIA report showing a sharper-than-expected decline in US crude inventories.

US Crude Oil Stocks Decline Amid Rising Demand

According to the US Energy Information Administration (EIA), crude oil inventories fell by 5.836 million barrels for the week ending June 20, significantly outpacing market expectations of a 600,000-barrel draw. Though lower than the previous week’s massive 11.473M drawdown, this decline still reflects robust seasonal demand, driven by the summer driving season in the US.

Middle East Risk Eases – Potential Cap for Oil Rally

While falling inventories usually support oil prices, reduced geopolitical risk in the Middle East is expected to limit WTI upside in the near term. Lower supply threats from major producers are helping stabilize global flows, offering some relief to oil-importing nations.

Weaker US Dollar Supports Oil Prices

The weakening Greenback—under pressure from Fed policy concerns—also contributes to supporting WTI, as a cheaper dollar makes oil more attractive to holders of other currencies. Ongoing speculation around President Trump's early pick for the next Federal Reserve Chair has also fueled dovish rate expectations.

For more insight, visit our commodity market dashboard and oil price outlook.

Key Levels to Watch:

• Resistance: $75.00 (psychological), $76.40 (recent high)
• Support: $73.20 (near-term), $71.50 (weekly low)

Any major surprises in US inflation or Fed policy developments could reshape short-term WTI price direction.