Oil ETFs (USO) (XLE) (BNO) Jumping on Lower Gas Inventory

Shares of oil ETFs U.S. Oil Fund (NYSE:USO), Energy Select Sector SPDR (NYSE:XLE) and U.S. Brent Oil Fund (NYSE:BNO) were up today after a report from the Energy Information Administration saying gas inventory was up less than expected and oil inventory was flat.

Light, sweet crude West Texas Intermediate oil for June delivery is soaring $3.61 to $100.52 a barrel on the Nymex.

Brent crude July contracts are up $2.74 to $112.73 a barrel.

This could be an indicator that refinery demand could possibly be on the rebound.

MF Global wrote in a note to clients, “We think oil prices will continue to erode and we still think $90 is a reasonable short-term target on WTI, although short-term, we are getting a tad oversold and may be in for a bounce here.”

U.S. Brent Oil Fund (BNO) was trading at $75.21, gaining $1.79, or 2.44 percent, as of 2:06 PM EDT. Energy Select Sector SPDR (XLE) was at $74.98, up $1.75, or 2.39 percent. The U.S. Oil Fund (USO) was trading at $39.88, surging $1.33, or 3.45 percent.