Tighter Oil Market Could Trigger Supply Surge

Despite a reported rise in oil inventories last week, bullish trading returned to oil markets with Brent closing at $43.24, up by 10.02 percent w/w, while WTI closed at $40.55, down by 0.25 percent w/w.  Crude oil prices showed a downward trend last Thursday and Friday, as the EIA reported an unexpected build of 5.7 million barrels in commercial crude inventories including an increase of 0.6 million barrels in the SPR. The rise in inventories is expected to be partly due to a rise in imports by 1.425 million bbl/d w/w, and a decline in exports…