Investing.com – Crude oil futures were up for a third day on Thursday, amid easing concerns over a slowdown in U.S. demand, while a broadly weaker U.S. dollar also lent support.
On the New York Mercantile Exchange, light, sweet crude futures for delivery in August traded at USD98.30 a barrel during European morning trade, gaining 0.53%.
It earlier rose as much as 0.72% to trade at a daily high of USD98.52 a barrel.
Crude prices rose to USD99.18 a barrel on Wednesday after official data showed that U.S. crude oil inventories fell by 3.1 million barrels last week, significantly higher than expectations for a 2.0 million barrel decline.
Total motor gasoline inventories declined by 0.8 million barrels, confounding expectations for a 0.5 million barrel increase.
Energy traders have been closely eyeing gasoline stockpiles as the U.S. driving season entered its peak gasoline demand period.
Meanwhile, the dollar was broadly weaker after Moody’s Investors Service said late Wednesday that it placed the U.S. government’s Aaa bond rating on review for possible downgrade for the first time since 1995, citing “a small but rising risk” of a short-lived default.
Federal Reserve Chairman Ben Bernanke said on Wednesday that the central bank was prepared to provide additional stimulus to bolster the U.S. economy, and warned a failure by Congress to raise the debt limit would send “shock waves” through the financial system.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.31% to trade at 75.31, hovering near a one-week low.
Oil prices typically strengthen when the U.S. currency weakens as the dollar-priced commodity becomes cheaper for holders of other currencies.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for September delivery shed 0.5% to trade at USD117.14 a barrel, up USD18.84 on its U.S. counterpart.
On the New York Mercantile Exchange, light, sweet crude futures for delivery in August traded at USD98.30 a barrel during European morning trade, gaining 0.53%.
It earlier rose as much as 0.72% to trade at a daily high of USD98.52 a barrel.
Crude prices rose to USD99.18 a barrel on Wednesday after official data showed that U.S. crude oil inventories fell by 3.1 million barrels last week, significantly higher than expectations for a 2.0 million barrel decline.
Total motor gasoline inventories declined by 0.8 million barrels, confounding expectations for a 0.5 million barrel increase.
Energy traders have been closely eyeing gasoline stockpiles as the U.S. driving season entered its peak gasoline demand period.
Meanwhile, the dollar was broadly weaker after Moody’s Investors Service said late Wednesday that it placed the U.S. government’s Aaa bond rating on review for possible downgrade for the first time since 1995, citing “a small but rising risk” of a short-lived default.
Federal Reserve Chairman Ben Bernanke said on Wednesday that the central bank was prepared to provide additional stimulus to bolster the U.S. economy, and warned a failure by Congress to raise the debt limit would send “shock waves” through the financial system.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.31% to trade at 75.31, hovering near a one-week low.
Oil prices typically strengthen when the U.S. currency weakens as the dollar-priced commodity becomes cheaper for holders of other currencies.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for September delivery shed 0.5% to trade at USD117.14 a barrel, up USD18.84 on its U.S. counterpart.