Oil rose more than $1 to trade above $74 a barrel today as data in the US promised economic recovery and a potential revival in energy demand.
Home sales data for July showed recovery in the US housing market, while Federal Reserve Chairman Ben Bernanke said that the global economy appears to be on the mend.
US crude was up $1.17 to $74.08 a barrel at 5.15pm, after briefly touching $74.72, its highest of the year.
London Brent crude for October was up 83 cents at $74.16.
Oil is on track for a 7.3% gain this week, and was last at this level on October 21, 2008 when it closed at $75.22 a barrel on its way down from a record peak above $147.
Another factor boosting prices was the fact that US highway travel was up 2% in June compared with a year ago, rising 4.9 billion miles to 256.7 billion miles.
