* U.S. crude hits 15-month high
* Energy stocks lead Wall St higher, Intel slumps
(Updates with U.S. market trading, changes throughout)
By Rodrigo Campos
NEW YORK, Oct 19 Crude oil prices rose to a
15-month high on Wednesday after a surprise U.S. inventory
drawdown, boosting energy shares.
WTI crude hit its highest since July 2015 after the
Energy Information Administration said U.S. stockpiles fell by
5.2 million barrels in the week ended Friday, dashing analysts'
expectations for a build.
Energy stocks led the way up on Wall Street, boosted by the
higher oil prices. Exxon and Chevron were the largest gainers on
the S&P 500, helping offset a near 6-percent decline in shares
of Intel after a disappointing revenue forecast.
"The severe weakness in energy prices really took a toll.
We've had a few starts up only to see prices fall, but this time
it seems different, the price holding for longer and investors
are warming to the sector," said Rick Meckler, president of
LibertyView Capital Management in Jersey City, New Jersey.
"Better energy prices are seen as a statement that maybe the
economy is a little bit stronger," he said.
The Dow Jones industrial average rose 62.66 points,
or 0.34 percent, to 18,224.6, the S&P 500 gained 5.36
points, or 0.25 percent, to 2,144.96 and the Nasdaq Composite
added 1.44 points, or 0.03 percent, to 5,245.28.
The S&P 500 energy sector rose 2 percent.
The pan-European STOXX 600 index rose 0.3 percent,
following a 1.5 percent rise in the previous session. MSCI's
gauge of stocks world wide rose 0.4 percent.
U.S. crude was up 2.8 percent at $51.71 a barrel and
Brent last traded at $52.86, up 2.3 percent on the day.
RECORD SAUDI BOND SALE
Saudi Arabia sold $17.5 billion of debt, the largest ever
emerging market bond sale. The government's first international
offer attracted investor orders for almost four times that
The launch of the offering briefly drove Treasury yields
higher but benchmark 10-year notes last rose 3/32 in
price to yield 1.738 percent, down from 1.748 percent on
The U.S. dollar index was little changed at 97.899,
not far from the seven-month high of 98.169 hit Monday.
The euro was 0.1 percent lower versus the U.S. dollar at
Spot gold gained 0.7 percent to $1,270.62 an ounce,
after earlier touching its highest since Oct. 5 at $1,273.34.
U.S. gold futures rose 0.7 percent to $1,271.70 an
(Reporting by Rodrigo Campos, additional reporting by Richard
Leong; Editing by Nick Zieminski)