Crude oil futures ended sharply higher on Friday on weaker dollar. The dollar extended its weakness due to the smaller than expected increase in US consumer prices raising hopes the Fed will be less aggressive with interest rate hikes in the coming months. The dollar index dropped to 106.28, losing about 1.79%. Further, China cut quarantine restrictions for inbound travelers and flights, boosting hopes for a revival in fuel demand. Authorities also removed a penalty for airlines for bringing in too many cases.
Benchmark crude oil futures for December delivery rose $2.49 or about 2.9 percent at $88.96 a barrel on the New York Mercantile Exchange. Brent crude for January delivery surged $2.39 or about 2.55 percent to settle at $96.06 (Provisional) a barrel on London's Intercontinental Exchange.