Crude oil futures jumped on Wednesday in reaction to decreased crude oil inventories which resulted in increased demand for the crude oil. As per latest data by the Energy Information Administration, crude oil stockpiles declined by 1.1 million barrels for the week ended November 11^th, 2011, while analysts expected the decline of 1.5 million barrels for the respective quarter.

Gasoline stockpiles gained 1 million barrels as per data of the EIA as compared to analysts’ expected decrease of 1.5 million barrels for the week. Distillates inventories, which include heating oil and diesel declined by 2.1 million barrels whereas analysts forecasted the decline of 3 million barrels.

Crude oil futures contract for December delivery gained 3.2 percent or $3.22 to $102.59 per barrel on the New York Mercantile Exchange. However, London’s Brent crude futures declined 0.2 percent or $0.24 to $111.51 per barrel at ICE Futures exchange.

Among other positive news which resulted in the appreciation of crude oil prices was the decision of Enbridge to reverse its pipeline flow. Analysts Matt Smith from Summit Energy commented, “Crude has exploded higher on the Seaway pipeline-reversal news, this will now aid in alleviating the supply glut, rather than previously exacerbating it.”

Gasoline futures contract for December delivery gained 1.6 percent or $0.04 to $2.63 per gallon while heating oil futures contract for the same month delivery fell 1.2 percent or $0.04 to $3.13 per gallon on Wednesday.