Brent crude futures rose 1 cent to $82.71 a barrel at 0121 GMT while US crude futures fell 4 cents to $77.24.
The market was buoyed by International Energy Agency projections of a recovery in Chinese oil demand next year after a contraction of 400,000 bpd in 2022. The agency raised its growth estimate oil demand for 2023 at 1.7 million bpd for a total of 101.6 million bpd.
Road and air traffic in China has rebounded strongly over the past month, the data showed.
Oil prices were also supported by an outage in TC Energy Corp’s Keystone pipeline, which usually ships 620,000 barrels a day of Canadian crude to the United States.
Officials said cleaning up the leak that caused the outage would take at least several weeks.
The U.S. Federal Reserve on Wednesday raised its overnight rate by 50 basis points, down from the 75 basis point hikes it had made in its previous four policy meetings. The central bank has signaled that further interest rate hikes are to be expected.
U.S. crude oil inventories also rose by more than 10 million barrels last week, the most since March 2021, supported by releases from the strategic petroleum reserve and reduced refiner activity.
Brent crude futures rose 1 cent to $82.71 a barrel at 0121 GMT while US crude futures fell 4 cents to $77.24.
The market was buoyed by International Energy Agency projections of a recovery in Chinese oil demand next year after a contraction of 400,000 bpd in 2022. The agency raised its growth estimate oil demand for 2023 at 1.7 million bpd for a total of 101.6 million bpd.
Road and air traffic in China has rebounded strongly over the past month, the data showed.
Oil prices were also supported by an outage in TC Energy Corp’s Keystone pipeline, which usually ships 620,000 barrels a day of Canadian crude to the United States.
Officials said cleaning up the leak that caused the outage would take at least several weeks.
The U.S. Federal Reserve on Wednesday raised its overnight rate by 50 basis points, down from the 75 basis point hikes it had made in its previous four policy meetings. The central bank has signaled that further interest rate hikes are to be expected.
U.S. crude oil inventories also rose by more than 10 million barrels last week, the most since March 2021, supported by releases from the strategic petroleum reserve and reduced refiner activity.