Both major benchmarks traded above the $50 mark and are trading at their highest levels since February 2020.
Recent data retrieved from the American Petroleum Institute (API) reveals a decline of 4.785 million barrels for the week ending December 25.
At the time of writing this report, Brent oil futures were down by 1.06% to $49.30 thereby dropping below the $50 mark.
Oil prices slid downwards at the mid-week trading session due to fears for soft fuel demand.
Oil futures fell precipitously on Wednesday amid mounting fears of oil demand recovery.
Both oil benchmarks dropped below the $40.
Brent crude prices dropped 0.51% to trade at $40.58 a barrel, after rising 2.5% on Wednesday.
Crude oil prices continue to climb up amid signs of gradual demand improvement.
OPEC+ is expected to further step up oil production cuts beyond the July expiry date.
The rebound of crude oil prices in the oil market continued for the second consecutive day, as oil prices went up on Wednesday.