Oil prices have risen following a further fall in the US crude inventory levels.

Brent crude futures for September increased 43 cents to $50.42 a barrel, while the US crude for September delivery edged up 36 cents to $46.10 a barrel, Reuters reported.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Dollar prices strengthened following support extended by a voting member of the US Federal Reserve’s policy-setting committee for an increase in interest rate in September.

"A stronger dollar could make commodities including oil dearer for buyers in other currencies."

A stronger dollar could make commodities including oil dearer for buyers in other currencies, while it could make non-US investors profitable who sell it.

During the quarter, oil prices have already seen a dip of 21% with increasing glut and slowing demand in China, which is one of the biggest importers of crude.

See Also:

The possibility of Iranian oil reaching to the already oversupplied market following its deal with the West over its nuclear programme, could hurt the prices further.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Commerzbank strategist Eugen Weinberg told the news agency: "All the negative news we’ve had in the last few weeks and months, starting with the nuclear deal with Iran, through to economic weakness in China and the strength of the dollar have all added up and, at least in our view, this (sell-off) was overdone."

According to American Petroleum Institute (API), crude inventories in the US declined by 2.4 million barrels last week to 459.7 million, as against analysts’ expectations for a 1.5 million barrels decrease.

Investors are keenly awaiting the data to be published by the US Energy Information Administration (EIA).