According to the API, U.S. crude oil reserves decreased significantly last week

On Tuesday, the API reported that U.S. crude reserves fell more than expected. This will give bulls more opportunities to improve positions, despite the expectations of stormy snowstorms, which will limit transportation and cut demand.

Last week, the API reported a 7.8 million barrel increase in U.S. crude oil reserves. They decreased by 3.1 million barrels over the week.

Economists expected a decline at the level of 167,000 barrels.

Periods of new demand fluctuations cause large reserves deficits. A storm is expected in the Midwest later this week. The forecast says it will bring heavy snowfall and rain caused by snowstorms on Thursday and Friday. Such conditions will negatively affect transportation and energy demand.

On Wednesday, at 3:30 p.m. GMT, the official government report on oil inventories is expected. According to preliminary data, it will inform about a reduction in crude oil reserves of the U.S. by about 1.7 million barrels last week.