WTI crude oil rose about 3 percent on Thursday as a reported drawdown of stockpiles in the Cushing delivery point for U.S. crude futures boosted optimism that a supply glut was easing.
U.S. crude closed up $1.74, or 2.95 percent, at $60.72 a barrel—its highest settle since May 13. Brent crude was up $1.20 at $66.20, after falling as low as $64.83 earlier. Fighting in Iraq that raised worries about the security of Middle East crude shipments also boosted oil.
The dollar’s retreat took some pressure off oil too. The dollar snapped a broad three-day run-up and also fell against the euro for the first time in a week, making commodities denominated in the greenback more affordable to holders of other currencies.