World oil prices jumped on Thursday on the back of a decline in new US weekly claims for jobless benefits as well as a weak dollar. New York's main contract, light sweet crude for October delivery, jumped 84 cents to $73.36 per barrel as it recovered from three-month lows on Wednesday. London's Brent North Sea crude for October gained $1.54 to $75.02 per barrel. Lower crude stocks as well as a government report showing a drop in the number of Americans filing new claims for jobless benefits helped lift market sentiment, said Deutsche Bank analyst Adam Sieminski. “The combination of these things has put a little strength in the oil market,” he said. Labor Department data showed Thursday a drop in jobless benefit claims to 473,000 for the week to August 21 from the previous week's 504,000. The latest figure was better than most economists' expectations of 485,000 but analysts cautioned that the underlying position was still weak. Gene McGillian, analyst at US-based consultancy Tradition Energy, said the economic picture was bleak. “Initial jobless claims still weren't anything to write home about... The fundamental picture (in the United States) continues to remain really weak,” he said. Oil got a boost too from rising European stock markets and a lower US dollar, which led many traders to shrug off a massive increase in US crude reserves. A weaker greenback makes dollar-priced commodities cheaper for buyers using stronger currencies, and therefore tends to stimulate demand. Oil also rose on Wednesday despite dismal US economic data and a spectacular jump in American crude reserves that signaled weaker demand in the United States. “Crude oil prices extended gains and surged above $73 per barrel in a correction higher, supported by a softer US dollar and further gains across the global equity markets,” said Sucden analyst Myrto Sokou. Stock markets rebounded on Thursday following a run of losses as traders digested a brighter economic.
