Oil climbs as US gasoline stockpiles drain amid rising demand

Oil advanced in early Asian trading after U.S. government data showed another large draw in gasoline stockpiles amid rising demand.

Futures in New York climbed toward $65 a barrel after snapping two days of losses on Wednesday. Gasoline inventories have declined more than 25 million barrels in the last two weeks, while a measure for consumption expanded last week to the highest level since November. Further price gains may have been tempered by another big increase in crude stockpiles.

The appetite for Iranian oil has grown, meanwhile, with China boosting its purchases even as other nations wait for the easing of U.S. sanctions. Imports have surged so much this month that port’s in Shandong province are seeing increased congestion, according to traders and analysts.