Though worries about slower global demand dampened the rally, oil prices increased by more than $1 on Thursday after US economic data allayed fears of an impending recession in the largest economy in the world.
By 1557 GMT, Brent crude futures had increased by $1.51, or 1.89 percent, to $81.27 per barrel. The price of US West Texas Intermediate crude futures increased to $78.42 by $1.44, or 1.87 percent.
While one report indicated that the number of Americans filing for unemployment benefits increased less than anticipated in July, data from the US showed that retail sales increased more than anticipated in the country.
“There was a lot of good news for the markets from the US retail sales data and the US unemployment claims number,” said Zaye Capital Markets’ Naeem Aslam.
The market was also supported by data indicating that US consumer prices increased somewhat in July, which bolstered expectations that the Federal Reserve would lower interest rates the following month.
Concerns about Iran’s possible reaction to the murder of Hamas leader Ismail Haniyeh last month also helped to support oil prices. In the Qatari capital of Doha, fresh negotiations over a ceasefire in Gaza were in progress on Thursday afternoon.
The conflict between Russia and Ukraine also kept prices high. Days after Ukraine launched the largest attack on its sovereign territory since World War Two, Russia announced on Thursday that it would strengthen border defences, enhance command and control, and deploy more forces.
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