U.S. crude oil futures rose more than 1% on Thursday to $76 per barrel, as positive labor data eased recession fears and simmering Middle East tensions supported prices.
West Texas Intermediate has bounced back after crude inventories fell for the sixth week in a row. The positive demand signal has overshadowed recession fears that pushed the U.S. benchmark to six-month lows earlier in the week.
And weekly unemployment claims fell to 233,000 for the week ended Aug. 3, a decline of 17,000 compared with the previous week in a positive sign for the labor market.
The oil market is now waiting to see whether Iran will follow through on its threat to strike Israel over the assassination of Hamas leader Ismail Haniyeh in Tehran last week.
Here are Thursday’s energy prices:
- West Texas Intermediate September contract: $76.12 per barrel, up 89 cents, or 1.18%. Year to date, U.S. crude oil has risen 6.2%.
- Brent October contract: $78.98 per barrel, up 65 cents, or 0.83%. Year to date, the global benchmark has gained 2.56%.
- RBOB Gasoline September contract: $2.39 per gallon, up more than 3 cents, or 1.58%. Year to date, gasoline is up 13.9%.
- Natural Gas September contract: $2.17 per thousand cubic feet, up 6 cents, or 1.7%. Year to date, gas is down 13.6%.
Several international airlines have canceled flights to Israel as tensions in the region simmer.
“Oil continues to be a show-me story for geopolitical risk,” Ryan Grabinski, an analyst at Strategas, told clients in a note Wednesday.
“Regardless of the ongoing conflicts in the Middle East, particularly with Iran and Israel, there has been no meaningful disruption to the flow of crude oil in the region,” Grabinski wrote.
