Hopes for a quick recovery in demand following the launch of COVID-19 vaccines compensated concerns of oversupply in U.S. crude oil inventories. Oil rose to about $ 50 on Thursday.
Britain started vaccinations this week and USA also may start vaccinations in this weekend. Canada approved its first vaccine on Wednesday, and it was said that the first vaccine application would begin next week.
Brent crude was up 78 cents, or 1.6%, at $49.64 a barrel at 1322 GMT, rising for a third day. West Texas Intermediate (WTI) crude rose 71 cents, or 1.6%, to $46.23.
Oil soared after the US oil inventories saw a massive 15.2 million barrel increase in crude oil stocks in their latest weekly report. On the contrary, analysts had expected a 1.4 million barrel drop.
Fear of an attack on an oil field in Iraq also supported the increase in prices. On Wednesday, two wells at a small oil field were set on fire with explosives, but overall production at the field was unaffected.