Crude oil futures ended higher on Thursday as upbeat U.S. retail sales and jobless claims data raised optimism about the outlook for demand. Concerns about possible supply disruptions due to the tensions in the Middle East also contributed to the increase in oil prices. Optimism about interest rate cuts by the Federal Reserve also supported oil prices. Data from the Commerce Department showed retail sales jumped by 1% in July after edging down by a revised 0.2% in June. Street had expected retail sales to rise by 0.3% compared to the unchanged reading originally reported for the previous month.
Benchmark U.S. crude oil futures for September delivery rose $1.18 or about 1.53% to $78.16 per barrel on the New York Mercantile Exchange. Brent crude for October delivery surged $1.28 or about 1.16% to $81.04 per barrel on London's Intercontinental Exchange.