“We firmly feel that this is going to be a one-off, and we’ll see large builds,” Tariq Zahir, an analyst at Tyche Capital Advisors, told Reuters.

SEE MORE: Commodity ETFs May Experience Seasonal Weakness in September

Meanwhile, gasoline futures surged on higher than expected draws.

Further lending support to the energy market, Russia and Saudi Arabia agreed to cooperate on stabilizing oil markets, with the Organization of Petroleum Exporting Countries continuing debates over a possible production freeze.

“The most important issue is whether Saudi Arabia will cut its production to pre-summer levels,” Anas al-Hajji, an independent analyst and former chief economist at NGP Energy Capital Management LLC, told Bloomberg.

For more information on the crude oil market, visit our oil category.

United States Oil Fund

Subscribe to our free daily newsletters!
Please enter your email address to subscribe to ETF Trends' newsletters featuring latest news and educational events.