MELBOURNE (Bloomberg) -- Oil rose to its highest in six months before a report forecast to show that U.S. crude inventories dropped from their highest level in nearly 19 years.

Crude-oil stockpiles probably dropped 1.15 million barrels in the week ended May 15 from 370.6 million the previous week, according to the median of 12 estimates by analysts before an Energy Department report on Wednesday. On Tuesday, the industry-funded American Petroleum Institute reported a decline of 4.47 million barrels for the period. Gasoline advanced after a fire at a Texas refinery curbed fuel production.
“Data from the Energy Department might be supportive today after yesterday’s positive surprise from the API,” said Eugen Weinberg, an analyst with Commerzbank AG in Frankfurt. “But the real issue is that world financial markets are not afraid of anything, and oil prices are rising with them.”
Crude oil for July delivery rose as much as 65 cents, or 1.1 percent, to $60.75 a barrel on the New York Mercantile Exchange. That’s the highest price for the contract nearest to expiry since Nov. 28. It traded at $60.71 a barrel at 10:40 a.m. London time. Prices are up 36 percent this year.
On Tuesday, the June contract gained 1.1 percent to $59.65 in its final day before expiry.
The catalytic cracker caught fire at Flint Hills Resources LLC’s Corpus Christi plant, according to preliminary reports from the Texas environmental agency. A catalytic cracker is used to make higher-value products such as gasoline and diesel.
The API collects inventory data on a voluntary basis from refineries, bulk terminals and pipelines. The government requires that reports be filed with the Energy Department.
---------------Lower imports
Crude-oil stockpiles probably dropped 1.15 million barrels in the week ended May 15 from 370.6 million the previous week, according to the median of 12 estimates by analysts before an Energy Department report on Wednesday. The Energy Department is scheduled to release its weekly report on supplies at 10:30 a.m. in Washington.
The American Petroleum Institute said On Tuesday that U.S. crude inventories dropped 4.47 million barrels to 366.2 million barrels last week.
Oil-supply totals from the API and DOE moved in the same direction 75 percent of the time over the past four years, according to data compiled by Bloomberg.
Inventories may fall as oil imports to the U.S., the world’s biggest crude user, decline. Supplies brought into the country fell 12 percent to 8.71 million barrels a day in the week ended May 8, the lowest since the week ended Sept. 12, the Energy Department said on May 13.
Crude oil supplies climbed to 375.3 million barrels during the week ended May 1, the highest since September 1990, according to the department.
U.S. gasoline inventories dropped 5.4 million barrels to 206.2 million barrels, the API said.
--------------Refinery rates
The Energy Department report will probably show U.S. refineries operated at 84.1 percent of capacity last week, up 0.4 percentage point from the previous week, according to the median of responses in the survey. Refinery operations usually climb for the peak gasoline-consumption period, which lasts from the Memorial Day weekend in late May to Labor Day in September.
Sunoco Inc. shut a gasoline-making unit at its Marcus Hook, Pennsylvania, plant following a fire. Valero Energy Corp’s Delaware City, Delaware, plant released sulfur dioxide from its fluid catalytic cracking unit On Tuesday, according to a filing with Delaware state regulators.
Gasoline for June delivery gained 3.5 cents to $1.8475 a gallon in New York on the Nymex at 10:17 a.m. London time. On Tuesday it rose 3.1 percent to $1.8125, the highest settlement since Oct. 14.
Brent crude for July settlement was at $59.26 a barrel, up 34 cents, on London’s ICE Futures Europe exchange at 10:16 a.m. London time. It rose 45 cents, or 0.8 percent, Tuesday to $58.92, the highest settlement since Nov. 10.