* Key U.S. stock index S&P down more than 1 pct, weighing on
oil
* Crude up earlier on 625,000 bbl Cushing draw cited by
Genscape
(Adds latest price moves, context on oil's Q3 performance)
By Barani Krishnan
NEW YORK, Sept 24 (Reuters) - Oil prices seesawed on
Thursday as tumbling stock prices on Wall Street offset bullish
sentiment from inventory draws at the U.S. crude delivery hub
cited by a market data provider.
U.S. equities' key Standard & Poor's 500 index .SPX fell 1
percent or more as prices of industrial stocks fell on concerns
of slowing global economic growth. .N
That pared the gains in oil, which rallied earlier on data
from market intelligence firm Genscape suggesting a drawdown of
625,000 barrels out of the Cushing, Oklahoma delivery point for
U.S. crude in the week to Sept. 22.
"There was a technical bounce after the Genscape numbers
were noticed by the market, though there were also new lows from
sell-stops after the S&P tanked," said Peter Donovan, broker at
New York's Liquidity Energy.
Brent LCOc1 was last up 27 cents, or 0.6 percent, at
$48.02 a barrel by 1:54 p.m. EDT (1754 GMT). It fell 35 cents at
the session low and rose 72 cents at the peak.
U.S. crude CLc1 also rose 0.6 percent, or 26 cents, to
$44.74, after moving in a similar range as Brent.
U.S. crude tumbled 4 percent on Wednesday after a large
build in gasoline stockpiles offset the bullish impact of a
crude drawdown for the week to Sept. 18 reported by the U.S.
Energy Information. EIA/S
The motor fuels build after the end of the peak U.S. summer
driving season raised new concerns about high product stocks
during autumn months in the world's largest oil consumer.
The Cushing inventory USOICC=ECI reduction reported by
Genscape on Thursday followed through with the 462,000-barrel
drop the EIA reported for the hub for the week to Sept. 18.
Oil is down more than 25 percent so far this quarter, the
second largest drop since 2008 driven by a glut in supply and
doubts about the global growth outlook.
Higher inventories and sluggish demand make many analysts
think the long-term outlook for crude will remain downbeat.
"Long-dated contracts are ticking lower and that will push
prompt prices lower to ensure there is still a contango," Bjarne
Schieldrop, chief commodity analyst at SEB in Oslo, said.
Contango is a market structure where oil for later delivery
is pricier than the prompt contract, making it profitable to
store oil.