Crude oil futures ended sharply higher on Thursday, extending recent gains. The increase by the price of crude oil have reflected a positive reaction to a Commerce Department showing continued strength in consumer spending. The Commerce Department said consumer spending advance by 0.8 percent in July after climbing by an upwardly revised 0.6 percent in June. Street had expected spending to increase by 0.6 percent. Besides, oil continued to benefit from report showing another steep drop in U.S. crude oil inventories in the week ended August 25th.
Benchmark crude oil futures for October delivery rose $2 or about 2.5 percent to settle at $83.63 a barrel on the New York Mercantile Exchange. Brent crude for October delivery surged $0.97 or 1.29 percent to settle at $86.83 a barrel on London's Intercontinental Exchange.