The world's largest fuel user, the United States, saw its oil inventories significantly shrink on Wednesday, according to industry statistics, while a hurricane in the Gulf of Mexico had investors on edge.

Brent crude edged up by 0.64% to $86.04 per barrel, meanwhile US WTI advanced by 0.73%, to $81.75 per barrel.

Tuesday saw a greater-than-a-dollar surge in both benchmarks as the U.S. dollar dropped following disappointing U.S. job statistics that diminished the possibility of further interest rate increases.

According to market sources who cited numbers from the American Petroleum Institute on Tuesday, U.S. crude stocks dropped by a larger-than-anticipated 11.5 million barrels in the week ending August 25.

Investors were also keeping a watch on Hurricane Idalia as it passed to the east of significant U.S. oil and natural gas production facilities over the Gulf of Mexico. The Energy Information Administration estimates that the region produces 5% of the country's natural gas and 15% of its oil.

According to sources in the refining industry consulted by Reuters, Saudi Arabia's official selling prices for all oil grades sold to Asia in October will be increased to the highest levels of the year based on that anticipation.