Oil prices push higher as U.S. refining activity resumes

LONDON, September 5, 2017 – Oil prices pushed higher on Tuesday, as U.S. refineries began to resume operations, easing concerns over a rise in U.S. stockpiles caused by Hurricane Harvey and subsequent flooding in the Gulf Coast.

The U.S. West Texas Intermediate crude October contract was at $48.05 a barrel by 09:00 a.m. ET (13:00 GMT), up 76 cents or around 1.61%.

Elsewhere, Brent oil for October delivery on the ICE Futures Exchange in London gained 46 cents or 0.90% to $52.80 a barrel.

Gasoline futures for October dropped 0.54% to $1.682 a gallon, close to levels seen before storm system Harvey made landfall along the U.S. Gulf coast.

Operations in oil refineries, pipelines and shipping channels across Texas and Louisiana returned gradually this week, after storm system Harvey made landfall in the heart of the U.S. energy industry more than a week ago.

However, many analysts say it could take months before the U.S. petroleum industry fully recovers from Harvey.

Market participants were eyeing fresh weekly information on U.S. stockpiles of crude and refined products due on Wednesday and Thursday to weigh the impact of Harvey had on supply and demand.

The reports come out one day later than usual due to the U.S. Labor Day holiday on Monday.

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