Investing.com – Oil continued higher early Thursday as U.S. crude stocks fell more than expected in the latest week.
U.S. crude was up 12 cents, or 0.20%, at $45.87 at 06:45 ET, while Brent crude added 0.19% to $47.26.
Futures rallied from sharp losses Wednesday after U.S. Energy Information Administration (EIA) inventory data.
The EIA said U.S. crude stocks fell by 2.342 million barrels in the week ending July 15.
Forecasts were for a drop of 2.1 million barrels. Stockpiles have fallen for nine weeks in a row.
However, inventories of gasoline surprisingly rose by 911,000 barrels despite the peak U.S. driving season.
Despite the draw in crude stocks, inventories remain historically high at 519.5 million barrels.
That underscored concerns about a glut of crude and refined products.
Oil rigs operating in the U.S. also continue to rise. Oil services firm Halliburton (NYSE:HAL) expects a further modest pick-up in the second half.
The dollar came off four-month highs. A stronger dollar weakens demand for oil.