WTI Crude Rises on Speculation U.S. Supplies to Drop

West Texas Intermediate crude climbed on speculation that U.S. inventories will keep declining after the largest two-week drop in at least three decades.

Futures advanced 1 percent today and 2.6 percent this week. Inventories slid 20.2 million barrels to 373.9 million in the two weeks ended July 5, the Energy Information Administration reported July 10. WTI has moved into backwardation, with futures closest to expiration more expensive than those for later delivery, removing the financial incentive to hold supplies. WTI also gained as corporate earnings topped analysts’ estimates.