Oil Prices Stay Firm

Oil Prices Stay Firm

A well head and drilling rig in the Yarakta oilfield, owned by Irkutsk Oil Company (INK), in the Irkutsk region, Russia, March 11, 2019. REUTERS/Vasily Fedosenko/File Photo

Oil prices rose on Thursday to extend several consecutive days of gains, buoyed by data showing US fuel demand holding up well despite soaring Omicron coronavirus infections.

Brent crude futures rose 24 cents, or 0.3%, to $79.47 a barrel at 0502 GMT, up for a fourth day. US West Texas Intermediate (WTI) crude futures rose 26 cents, or 0.3%, to $76.82 a barrel for a seventh session of gains.

"Oil prices edged higher overnight thanks to larger-than-expected falls in US crude and gasoline inventories and receding virus nerves," Jeffrey Halley, senior market analyst at brokerage OANDA said in a note.

US Energy Information Administration data on Wednesday showed crude oil inventories fell by 3.6 million barrels in the week to Dec. 24, which was more than what analysts polled by Reuters had expected.

Gasoline and distillate inventories also fell, versus analysts' forecasts for builds, indicating demand remains strong despite record COVID-19 cases in the United States.

Oil prices also drew support from steps taken by governments to limit the impact of record high COVID-19 cases on economic growth, such