Investing.com - Crude oil futures rallied to the highest levels of the session on Thursday, after European Central Bank President Mario Draghi said the region’s economy will recover next year.
On the New York Mercantile Exchange, light sweet crude futures for delivery in July traded at USD94.54 a barrel during U.S. morning trade, up 0.85% on the day.
New York-traded oil prices rose by as much as 1% earlier in the day to hit a session high of USD94.67 a barrel, the strongest level since May 29.
European Central Bank President Mario Draghi said the euro zone economy is now likely to contract by 0.6% this year, from the 0.5% contraction forecast in March. However, the central bank revised up its growth forecast for 2014 to 1.1% from 1.0%.
Draghi comments came after the ECB left its benchmark interest rate on hold at a record low 0.5% and left deposit rates at zero, following its monthly meeting on Thursday.
Also Thursday, the Department of Labor said the number of people who filed for unemployment assistance in the U.S. last week fell by 11,000 to 346,000, compared to expectations for a decline of 12,000 to 345,000.
Jobless claims for the preceding week were revised up to 357,000 from a previously reported increase of 354,000.
The data came one day after U.S. private sector jobs data lowered expectations for a strong economic recovery.
U.S. non-farm private employment rose by a seasonally adjusted 135,000 last month, below expectations for an increase of 165,000.
Oil traders now looked ahead to Friday’s closely watched report on U.S. nonfarm payrolls for further hints regarding the strength of the U.S. economy and the need for further stimulus from the Fed.
The U.S. is the world’s biggest oil consuming country, responsible for almost 22% of global oil demand.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for June delivery added 0.2% to trade at USD103.26 a barrel, with the spread between the Brent and crude contracts standing at USD8.72 a barrel.
On the New York Mercantile Exchange, light sweet crude futures for delivery in July traded at USD94.54 a barrel during U.S. morning trade, up 0.85% on the day.
New York-traded oil prices rose by as much as 1% earlier in the day to hit a session high of USD94.67 a barrel, the strongest level since May 29.
European Central Bank President Mario Draghi said the euro zone economy is now likely to contract by 0.6% this year, from the 0.5% contraction forecast in March. However, the central bank revised up its growth forecast for 2014 to 1.1% from 1.0%.
Draghi comments came after the ECB left its benchmark interest rate on hold at a record low 0.5% and left deposit rates at zero, following its monthly meeting on Thursday.
Also Thursday, the Department of Labor said the number of people who filed for unemployment assistance in the U.S. last week fell by 11,000 to 346,000, compared to expectations for a decline of 12,000 to 345,000.
Jobless claims for the preceding week were revised up to 357,000 from a previously reported increase of 354,000.
The data came one day after U.S. private sector jobs data lowered expectations for a strong economic recovery.
U.S. non-farm private employment rose by a seasonally adjusted 135,000 last month, below expectations for an increase of 165,000.
Oil traders now looked ahead to Friday’s closely watched report on U.S. nonfarm payrolls for further hints regarding the strength of the U.S. economy and the need for further stimulus from the Fed.
The U.S. is the world’s biggest oil consuming country, responsible for almost 22% of global oil demand.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for June delivery added 0.2% to trade at USD103.26 a barrel, with the spread between the Brent and crude contracts standing at USD8.72 a barrel.