Oil Climbs to $104 as U.S. Supplies Drop Sharply 

The price of oil climbed to a one-month high Wednesday after a report showed a large drop in U.S. crude supplies, helped by a decline in imports.
Benchmark U.S. crude for July delivery gained $1.74 to close at $104.07 a barrel on the New York Mercantile Exchange. Oil has now gained 4 percent for the month of May. Brent crude, a benchmark for international oil, added 86 cents to $110.55 a barrel on the ICE Futures exchange in London. A report from the Energy Department showed a drop of 7.2 million barrels in U.S. crude oil supplies for the week ended May 16, compared with an expectation of a decline of 300,000 barrels by analysts surveyed by Platts, the energy information arm of McGraw-Hill Cos. Imports fell by 658,000 barrels. Oil prices were also supported by political instability in Libya, usually a key supplier to European refineries, and the conflict in eastern Ukraine between the government and pro-Russia separatists ahead of presidential elections on Sunday.
Source: AP

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