Investing.com - Crude prices edged higher on Wednesday on the coattails of upbeat U.S. inventory data, though concerns the world is awash in oil at a time when global demand remains soft sent futures dipping into negative territory at times.
In the New York Mercantile Exchange, West Texas Intermediate crude oil for delivery in November traded up 0.22% at $91.76 a barrel during U.S. trading. New York-traded oil futures hit a session low of $91.13 a barrel and a high of $92.11 a barrel.
The November contract settled up 0.76% at $91.56 a barrel on Tuesday.
Nymex oil futures were likely to find support at $90.41 a barrel, Monday's low, and resistance at $94.12 a barrel, last Tuesday's high.
The Department of Energy reported earlier that crude stockpiles plunged by 4.3 million barrels last week, confounding market calls for a build of 386,000.
Also on Wednesday the Census Bureau reported that U.S. new home sales data rose 18.0% last month to 504,000 units, far surpassing expectations for a 4.4% gain to 430,000 units. New home sales for July were revised to a 1.9% increase from a previously estimated 2.4% drop.
The data came a day after a report showed that the U.S. manufacturing sector expanded in September close to market expectations.
Still, oil futures met the news with muted applause on concerns that despite a more upbeat U.S. recovery, the global economy remains sluggish at a time when oil supplies are ample.
Furthermore, Iraq and Nigeria are reportedly stepping up exports, adding more oil to the market, while output at Libya has rebounded as well.
Separately, on the ICE Futures Exchange in London, Brent oil futures for November delivery were down 0.74% at US$96.14 a barrel, while the spread between Brent and U.S. crude contracts stood at US$4.38 a barrel.