Oil prices rebound despite rising inventories

New York, Sep 11 (IANS) Oil prices bounced on Thursday despite a government report showed that US crude stockpiles increased last week.

US crude supplies of last week climbed 2.6 million barrels to 458 million, 99.4 million barrels more than one year before, according to a weekly report released by Energy Information Administration (EIA) on Thursday, Xinhua reported.

Inventories at Cushing, Oklahoma, the delivery point for the US contract, lost 0.9 million barrels to 56.4 million barrels.

US crude production fell 83,000 barrels to 9.135 million barrels a day that week.

Oil prices were buoyed by the production forecast from the research branch of the US Department of Energy.

EIA estimated the total US crude oil production declined by 140,000 barrels per day in August compared with July production.

Crude oil production is forecast to continue decreasing through mid-2016 before growth resumes late in 2016.

The West Texas Intermediate for October delivery moved up $1.77 to settle at $45.92 a barrel on the New York Mercantile Exchange, while Brent crude for October delivery increased $1.31 to close at $48.89 a barrel on the London ICE Future Exchange.