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Crude Oil Rally Gains Momentum

Crude oil prices continued to march higher Thursday morning amid analyst expectations for a move toward $100 a barrel.

WTI light sweet oil was up 60 cents at $72.12 a barrel, the highest in four years.

With OPEC cutting production, the Venezuelan oil industry in tatters, and geopolitical tensions threatening output from Iran, oil prices have risen dramatically this month.

However, the International Energy Agency cut forecasts for global oil demand growth in 2018 as the highest prices in three years put a brake on consumption.

"The recent jump in oil prices will take its toll," said the agency.

Yesterday, the U.S. EIA said domestic crude inventories fell by 1.4 million barrels in the week to May 11, compared with expectations for a decrease of 750,000 barrels.

Once again, the government's data was in contrast to the weekly industry report from the American Petroleum Institute.

The API reported Tuesday that U.S. crude supplies rose by nearly 4.9 million barrels for the week ended May 11.

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