Oil extended gains amid speculation policy makers will take steps to curb the economic fallout from Britain’s shock vote to leave the European Union.
Futures rose as much as 1.1 percent in New York after advancing 3.3 percent Tuesday. That followed the biggest two-day loss since February as the U.K.’s referendum spurred volatility in global markets. U.S. crude supplies probably fell by 2.5 million barrels last week, according to a Bloomberg survey before an Energy Information Administration report Wednesday.
West Texas Intermediate increased as much as 53 cents to $48.38 a barrel on the New York Mercantile Exchange and traded at $48.25 at 9:07 a.m. Sydney time. WTI climbed $1.52 to settle at $47.85 on Tuesday.
Brent for August settlement advanced $1.42, or 3 percent, to settle at $48.58 a barrel on the London-based ICE Futures Europe exchange on Tuesday. The global benchmark crude ended the session at a 73-cent premium to WTI.