Brent oil prices rose by more than 1 percent on Wednesday to above $110 a barrel, after weekly data showed a surprise fall in crude stockpiles in the United States, but caution over the demand outlook put a cap on price gains, Reuters reported. The U.S. Energy Information Administration (EIA) said crude stocks in the world's largest oil consumer fell by 2.2 million barrels last week, surprising forecasters who had expected a 800,000 barrel rise. Both gasoline and distillate stocks rose, however, which limited gains in crude prices. At 1:37 pm EDT (1737 GMT), Brent crude was up $1.24 at $110.55 a barrel while U.S. crude was up 40 cents at $85.84 a barrel. Prices drew support from the still-uncertain outlook for Libyan exports and a force majeure declared on Tuesday by Royal Dutch Shell on some supplies of Nigerian sweet crude. Financial markets are waiting for a speech from U.S. Federal Reserve Chairman Ben Bernanke on Friday, to see if the central bank chief signals further monetary easing to stimulate a sluggish U.S. economy. Sunoco Inc said a crude distillation unit at its 335,000 barrel per day (bpd) Philadelphia refinery was running at reduced rates following a fire at the plant. This helped support gasoline and heating oil prices in the United States. -- SPA
