API data shows US crude inventories rise, fuel stocks fall
Saudi cabinet reaffirms support for OPEC measures
Coming up EIA supply report, 1430 GMT

LONDON, Aug 9 Reuters Oil hit new peaks on Wednesday with Brent crude touching the highest since April as tighter supply owing to Saudi and Russian output cuts offset concerns over slow demand from China and a report showing rising U.S. crude inventories.

Saudi Arabia39;s cabinet said on Tuesday that it reaffirms its support for precautionary measures by the Organization of the Petroleum Exporting Countries and its allies, known as OPEC, to stabilise the market, state media reported.

Brent crude rose 64 cents, or 0.7, to 86.81 by 1012 GMT and touched 86.94, the highest since April 13. U.S. West Texas Intermediate WTI crude gained 78 cents, or 0.9, to 83.70. The U.S. benchmark touched 83.81, the highest since November 2022.

Crude posted its sixth consecutive weekly gains last week and hit its highest levels since midApril on Monday, helped by a reduction in OPEC supplies and hopes of stimulus boosting oil demand recovery in China.

There is no doubt that there is plenty of momentum here, said Naeem Aslam, chief investment officer at Avatrade. The clear trend seems to be skewed to the upside.

Some bearish pressure came from American Petroleum Institute API figures on Tuesday, which according to market sources showed U.S. crude stocks rose by 4.1 million barrels last week, although gasoline and distillate inventories…