US crude oil prices rose this evening in volatile trading as the weak dollar and positive euro zone and German economic data provided a lift before a fall in Wall Street markets helped limit oil's rise.
US crude rose 77 cents to $77.76 a barrel, trading from an early low of $76.45 to a peak of $78.89. Brent rose $1.03 to $77.09 a barrel.
Despite today's rise, oil has been trading within a $70-$80 range for nearly two months. Continued signs of tepid economic recovery and oil demand growth, along with hefty inventories, have helped keep oil prices in check.
US oil demand in May was revised down by 4.21% to 18.827 million barrels a day from an earlier estimate of 19.655 million, the US EIA said today.
Helping to add to the inventory rises, OPEC is meeting only half its promised cuts in oil supply this month, a Reuters survey showed. This was the lowest rate of observance since the current targets were adopted in December 2008.
