NEW YORK: Crude oil futures jumped 3 percent on Thursday, rebounding forcefully from the three-month lows of this week, as China’s stock market steadied from its collapse and uncertainties remained about a nuclear deal that will allow Iran to export more crude.
Bets of strong gasoline demand through the US summer driving season also fueled the crude rally. Futures of gasoline RBc1 and ultra-low sulfur diesel HOc1 rose more than 1 percent.
“We’re up on a host of headlines and the natural rebound that follows a massive sell-off. Fundamentally, nothing’s changed,” said Donald Morton, who runs an energy-trading desk at investment bank Herbert J. Sims & Coin in Fairfield, Connecticut.
Brent crude futures were up $1.80, or 3.2 percent, at $58.85 a barrel by 10:55 a.m. EDT (1555 GMT), rising more than $2 at the session high. It had plumbed an early April low of $55.10 on Monday.
US crude futures rose $1.25 to $52.90, rebounding from this week’s three-month low of $50.58.
Appetite for riskier assets such as oil was buoyed after Chinese equities rebounded 6 percent, helped by Beijing’s frantic attempts to staunch a sell-off that has roiled global markets.
Crude oil futures jump 3%
