Light, sweet crude for November delivery fell 8 cents to close at $79.97 a barrel after rising as high as $80.72 and falling as low as $79.65 on the New York Mercantile Exchange.

Crude supplies rose to 321.8 million barrels last week, the Energy Department said. Most analysts had expected supplies to fall about 400,000 barrels.

Gasoline inventories fell 100,000 barrels to 191.3 million barrels, the department said. Distillate supplies were down 1.2 million barrels to 135.9 million barrels.

Refineries activity rose 0.6 percent to 87.5 percent from 86.9 percent, the department said.

November natural gas futures fell 15 cents to settle at $7.277 per 1,000 cubic feet amid lessening fears of Gulf of Mexico storm activity.

Heating oil gained 1.64 cents to finish at $2.1787 a gallon.

Reformulated-gasoline blendstock for oxygen blending added 1.31 cents to settle at $1.9959 a gallon.

AAA said the average U.S. retail regular unleaded gasoline price was $2.786 a gallon, down 0.2 cents from Tuesday's $2.788 a gallon.