Oil climbed to $97 a barrel on Wednesday following a broader commodities rally and on expectations for a further drawdown in U.S. crude stocks. U.S. crude rose 72 cents at $97.05 a barrel by 1130 GMT. London Brent crude traded 57 cents higher at $96.11. Oil, gold and other commodities have started the year at record levels as investment funds diversify their portfolios to hedge against declining equity markets. Crude oil inventories in the United States, where stockpiles have already plummeted to a three-year low, are expected to slide further, a report from the U.S. government due later on Wednesday is expected to show. A Reuters poll of 14 analysts forecast that stock levels will fall by 1.3 million barrels for the week ended Jan. 4, partly due to export disruptions from key supplier Mexico.
