The price of Brent crude oil increased towards $59 a barrel on Wednesday due to better factory activity data than expected from China.
Reuters reported that Brent increased 11 cents to $58.77 a barrel, while US crude futures dropped 17 cents to $49.11 a barrel.
Prices were also supported by the Federal Reserve’s position on US interest rates and the euro zone’s approval to reforms proposed by Greece.
According to the flash HSBC/Markit Purchasing Managers’ Index, the factory sector in China showed marginal growth, which increased to a four-month high of 50.1 in February.
Federal Reserve chair Janet Yellen suggested that the US central bank was preparing to consider increasing interest rates on a meeting-by-meeting basis.
According to a report by Reuters, ample oil supplies continues to bogged down the market and restrict the impact of positive news on macroeconomic.
Data from the American Petroleum Institute revealed that US crude inventories increased by 8.9 million barrels last week as refineries cut production.
In response to Nigeria’s Oil Minister claims that the country would call an OPEC extraordinary meeting if prices declined further, two delegates said the group has no plans for an emergency meeting before June.
Libya has restarted pumping crude from Sarir and Messla oilfields at the rate of about 40,000 barrels a day to port Hariga after restoring the power.