Oil prices rose this evening as the threat from Iceland's volcanic ash cloud receded and allowed some European flights to resume. A rise in US stock markets also helped oil prices.
Oil investors have been studying broader financial markets since last year for signs of economic recovery that would point the way to higher fuel consumption.
US crude rose $1.80 to $83.23, having fallen almost 5% during the last two sessions. Brent crude rose 92 cents to $85.15.
An EU deal to open airspace, shut after an volcano in Iceland erupted last week, also pushed up prices ahead of an expected improvement in jet fuel demand, which has been slashed by at least 1 million barrels per day (bpd), or about a fifth of global consumption over the past few days.
Lost jet fuel demand could add to already brimming global distillate stockpiles both on land and in floating storage. Distillate stocks include diesel and jet fuel.
