Oil prices rise amid declining inventories

Oil prices gained on Wednesday as a government report showed that the US crude stockpiles decreased unexpectedly last week.

The US crude supplies of last week dropped 2.1 million barrels to 455.9 million barrels, 93.6 million barrels more than one year before, according to the weekly report issued by Energy Information Administration (EIA) Wednesday, Xinhua reported.

Inventories at Cushing, Oklahoma, the delivery point for the US contract, lost 1.9 million barrels to 54.5 million barrels.

The US crude production fell 18,000 barrels to 9.117 million barrels a day that week.

Oil markets were also cheered by the gains in global stocks market on Wednesday. Investors were keeping a close eye on the Fed's two-day policy meeting that began Wednesday, as the Federal Open Market Committee, the policy-setting panel of the Fed, could raise interest rates for the first time in nine years.

All eyes are on Thursday expected statement and press conference.

The West Texas Intermediate for October delivery moved up $2.56 to settle at $47.15 a barrel on the New York Mercantile Exchange, while Brent crude for November delivery increased two dollars to close at $49.75 a barrel on the London ICE Future Exchange.