Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Oil prices continues climb

By Annalyn Censky, staff reporter


NEW YORK (CNNMoney.com) -- After surging 4% the day before, oil prices climbed again Thursday after Chinese officials denied reports that they're reconsidering the country's holdings in European bonds.

What prices are doing: Crude for July delivery rose $3.04, or about 4.25%, to settle at $74.55 a barrel Thursday.

crude_oil.png
Click the chart for the current price of oil and other commodities.

Gasoline prices fell for the 20th consecutive day, slipping to $2.759 a gallon from $2.771 the day before, according to a survey by motorist group AAA.

What's moving the market: Oil traders welcomed news from China's State Administration of Foreign Exchange, which rejected reports that the country is reviewing its investment in European bonds.

Those comments boosted oil prices by calming investors' fears about economic instability in Europe. Since the beginning of the month, oil has plummeted from $86.19 based on fears that the region's debt crisis will curb demand for fuel and concerns about U.S. supply outpacing demand.

The dollar also slipped against the euro and British pound Thursday, making oil -- which is priced in the U.S. currency -- a cheaper buy for foreign investors.

Oil traders are looking ahead to the Memorial Day weekend as an unofficial start to the peak driving season, and expect to see gasoline demand pick up in the summer.

A report out from the Energy Information Administration Wednesday showed gasoline supplies decreased by 200,000 barrels last week and distillate fuel, a category that includes heating oil and diesel, decreased by 300,000 barrels.

While crude oil inventories increased by a much higher than expected 2.4 million barrels, the supply held in Cushing, Okla. -- a key storage hub and delivery point for NYMEX crude oil futures -- fell by 300,000 barrels. To top of page

Overnight Avg Rate Latest Change Last Week
30 yr fixed3.83%3.83%
15 yr fixed2.95%2.95%
5/1 ARM3.12%3.13%
30 yr refi3.94%3.95%
15 yr refi3.05%3.05%
Rate data provided
by Bankrate.com
View rates in your area
 
Find personalized rates:
Index Last Change % Change
Dow 16,102.38 -272.38 -1.66%
Nasdaq 4,683.92 -49.58 -1.05%
S&P 500 1,921.22 -29.91 -1.53%
Treasuries 2.13 -0.04 -1.85%
Data as of 7:58pm ET
Company Price Change % Change
Bank of America Corp... 15.65 -0.29 -1.82%
Apple Inc 109.27 -1.10 -1.00%
Alcoa Inc 9.49 -0.08 -0.84%
Microsoft Corp 42.61 -0.89 -2.05%
General Electric Co 24.00 -0.51 -2.08%
Data as of 4:03pm ET

Sections

Jessica Alba's Honest Company has been sued by a customer who claims the company is making false claims in its marketing and labeling. More

Harlem's Hot Bread Kitchen teaches kitchen skills to low-income immigrant so they can find employment. More

Google has released Chrome 45, which claims to make your browser faster and give your laptop battery extra life. More

Harlem's Hot Bread Kitchen teaches kitchen skills to low-income immigrant so they can find employment. More

Pimco's famous fund once managed by star manager Bill Gross has less than $100 billion in management for the first time since 2007. More