Oil prices rose sharply in Asian trade on Thursday, with U.S. crude futures hitting an over one-year high on continued signs of tighter supply, while positive data from China also aided sentiment.
The signals helped markets largely look past concerns over higher-for-longer U.S. interest rates, following a string of hawkish comments from Federal Reserve officials.
U.S. inventory data showed that stockpiles shrank more than expected in the week to September 22. Data from China also spurred some optimism over an economic recovery in the world’s largest oil importer. China’s industrial profits rose for the first time this year in August, helping trim a year-to-date slump in profits.