Oil prices rose above $71 a barrel today, supported by better-than-expected economic data and a weaker U.S. dollar, according to Reuters. "A lower-than-expected unemployment figure in the U.S., resurgent commodities prices and a weaker U.S. dollar and Alcoa's return to profitability all helped push equities and oil prices higher," said Peter Beutel, president of Cameron Hanover in New Canaan, Connecticut. U.S. crude for November delivery rose $2.21 to $71.78 a barrel by 1:24 p.m. (1724 GMT). The contract closed $1.31 lower at $69.57 a barrel on Wednesday. In London, Brent crude climbed $2.63 to $69.83. Aluminum producer Alcoa posted a surprise profit, while major retailers reported an uptick in September sales, lifting hopes for an economic recovery. U.S. unemployment claims, which dropped to a nine-month low last week, also bolstered confidence that the labor market was stabilizing. The dollar fell broadly against a basket of currencies as firmer equity markets fueled demand for riskier assets at the expense of the U.S. currency. A weaker dollar supports oil because it makes commodities priced in the greenback cheaper for those holding other currencies. The gains in crude oil futures on Thursday reversed a nearly 2 percent drop in the previous session, when U.S. government data showed a larger-than-expected build in gasoline and distillate stocks last week, fanning doubts over the pace of fuel demand recovery in the world's largest energy consumer.
