Oil prices rose for a second day today after better than expected US unemployment data and a fall in the dollar as investors moved back into the market.
US crude traded at $72.87, up 35 cents a barrel. It has dropped about $10 from a peak of almost $83 on August 4. London Brent climbed $1.07 to $74.55.
The rally was supported by a fall in the value of the dollar against a basket of currencies. A weaker dollar often supports commodities because many of them are priced in the US currency.
Crude futures had also gained ground on Wednesday, despite dismal US economic data and a spectacular jump in American crude reserves that signalled weaker demand in the United States - the world's biggest oil-consuming nation.
The US government's Department of Energy (DoE) said crude stockpiles surged 4.1 million barrels last week. That confounded market expectations for a 200,000-barrel drop. Petrol stockpiles rose 2.3 million barrels, against forecasts for a 500,000-barrel decline. Distillates, including diesel and heating fuel, gained 1.8 million barrels.
