Oil Climbs to 4-Month High on Cushing Supply Outlook

West Texas Intermediate crude increased to a four-month high on speculation that inventories at Cushing, Oklahoma, dropped for a third week.

Futures rose 0.9 percent. Supplies at Cushing, the delivery point for WTI, probably fell last week, according to a Bloomberg survey. TransCanada Corp. began moving oil to Texas from Cushing on the southern leg of the Keystone XL pipeline earlier this year. A government report tomorrow will show that stockpiles of distillate fuel, a category that includes heating oil and diesel, declined 2.1 million barrels last week as a winter storm hit the Northeast, a separate Bloomberg survey indicated.