Oil rises above $84 as US crude supplies drop

Oil rose above $84 a barrel Wednesday after a report showed US crude supplies fell for a second week, suggesting demand may be improving.

The American Petroleum Institute said late Tuesday that crude inventories fell 700,000 barrels last week, including a 900,000 barrel drop at the key oil storage facilities at Cushing, Oklahoma. Inventories of gasoline rose 2.5 million barrels last week and distillates dropped 700,000 barrels, the API said. (AP)