LONDON: Oil extended gains after bouncing from earlier losses Wednesday as the U.S. weekly data showed a sharp fall in crude inventories and an unexpected fall in gasoline stocks. By 1437 GMT, U.S. light crude rose 59 cents to $94.76 a barrel, having fallen to as low as $93.24.

ICE Brent crude futures rose $2.17 to $113.12.

Official data from the U.S. Energy Information Administration showed a 1.7 million barrel drop in crude oil stocks in the week to June 17, compared with analysts’ forecast of 1.4 million barrel draw.

Gasoline inventories fell against analysts’ forecast for an increase and the average gasoline demand over the past four weeks rose 0.9 percent from a year earlier.

“Gasoline looks constructive with reasonable demand for June and a larger than expected draw,” Andy Lebow, broker at MF Global in New York.

But Lebow said that the figures for middle distillates, such as diesel and heating oil, were bearish for the market.

The official data showed U.S. distillate inventories rose by a more than forecast 1.17 million barrels and the average demand over four weeks fell 5.7 percent from a year earlier.

Additional support came as TransCanada Corp said oil shipments on its Keystone pipeline, which carries oil from Alberlta to Oklahoma in the states, will be cut by 19.28 percent as it works on the line following two oil spills in May.

Enbridge Inc , whose pipelines carry the bulk of Canada’s crude exports to the United States, also said it would ration space on two of those lines for July because of high nominations and capacity restrictions.

The market shrugged off the expected rise in Nigerian exports in August to a 5-1/2 years.

Later in the day, global markets will be looking to the Fed for clues about its handling of the faltering U.S. economic recovery.

The Federal Reserve is likely to acknowledge renewed weakness in the U.S. economy in a post-meeting policy statement Wednesday, but may not take any action.