Oil gains on anticipation of U.S. supply drop

The price of oil rose Tuesday as traders anticipated a report showing another decline in U.S. supplies.

Benchmark U.S. crude for June delivery gained $1.11 to $101.70 a barrel on the New York Mercantile Exchange, the highest close since April 24.

Meanwhile, the average price for a gallon of gasoline in the U.S. fell to $3.64, the lowest in almost a month. In Houston Tuesday, the average was $3.435 a gallon, down from $3.440 Monday, according to AAA.

On Wednesday, the Energy Department is expected to report that U.S. crude oil supplies fell last week by 1.5 million barrels, according to a survey of analysts by Platts. It would be the second weekly decline since the nation’s supply of oil reached a record 399.4 million barrels as of April 25.

Brent crude rose 75 cents to $108.54 a barrel on the ICE exchange in London.

In other energy futures trading in New York:
— Wholesale gasoline gained 2 cents to $2.93 a gallon.
— Natural gas fell 8 cents to $4.36 per 1,000 cubic feet.
— Heating oil added 3 cents to $2.94 a gallon.