SINGAPORE Dec 21 Oil prices nudged higher on
Wednesday on expectations of a U.S. crude inventory draw,
although trading activity was muted as markets start to wind
down ahead of the Christmas weekend.
U.S. West Texas Intermediate (WTI) crude oil futures
were trading at $53.58 per barrel at 0105 GMT, up 28 cents from
their last settlement.
International Brent crude oil futures were at $55.57
a barrel, up 22 cents.
Traders said the higher prices were largely due to an
expected reduction in U.S. crude oil inventories, which will be
reported late on Wednesday.
Jeffrey Halley, analyst at futures OANDA in Singapore said
U.S. crude stocks were expected to fall by 2.563 million
In the absence of strong fundamentals, traders said that
technical support and resistance levels would become price
"U.S. oil may rise to $54.37 per barrel, as it has broken
resistance at $53.36," said Reuters technical commodities
analyst Wang Tao.
"Brent oil is poised to break a resistance at $55.79 per
barrel," he said.
(Reporting by Henning Gloystein; Editing by Richard Pullin)