Oil Prices Surge on Hurricane Threat and Significant US Stockpile Draw

Oil prices rose as industry data showed a significant draw in US crude inventories, indicating strong demand. Concerns over Hurricane Idalia in the Gulf of Mexico also contributed to the gains. The offshore Gulf of Mexico accounts for a significant portion of US oil and natural gas production. Additionally, expectations of Saudi Arabia extending its voluntary output cut and potential disruptions in crude supplies from Gabon further tightened the market. However, worries about fuel demand and the mixed economic situation in China limited the price increase.