WTI Crude Daily Update for September 29, 2016

WTI crude oil prices shot higher late in the North American trading session following a Reuters story that said that OPEC plans to cut production at its November meeting.  The deal to curb product would reduce the cap to 32.5 million barrels. Prices were consolidating ahead of the news despite an unexpected draw in crude oil inventories reported on Wednesday by the Department of Energy.  Support is seen near the 10-day moving average at 44.96, while resistance is seen near the September highs at 48.10.

The Department of Energy reported that U.S. commercial crude oil inventories decreased by 1.9 million barrels from the previous week. Analysts had expected inventories to climb by 2 million barrels in the latest week.  Gasoline inventories increased while distillate inventories declines, while demand for products rose 3.2% year over year.