Crude oil rises above US$80/bbl

Crude oil rose for three consecutive days and was set for its biggest weekly gain since April, buoyed by encouraging economic data on the US and Chinese economies. Oil also rose after OPEC member Ecuador declared a state of emergency after what it called a "coup attempt". Crude oil for November delivery climbed as much as US$1.18, or 1.5%, to US$81.15 a barrel on the New York Mercantile Exchange, the highest price since Aug. 10. It was at US$80.90 at 1:09 p.m. London time. Brent crude for November settlement was up US$1.06, or 1.3%, at US$83.17 a barrel. Oil futures gained 11% in September and 5.7% in the third quarter. This week, the market is up 5.8%, the most since the five days ended April 2.



The purchasing managers’ index (PMI) in China, the world’s top energy consumer, rose at the fastest pace in four months in September. China’s PMI climbed to 53.8 from 51.7 in August, the logistics federation and statistics bureau said. The median forecast was 52.5. Reading above 50 indicate expansion. US initial jobless claims decreased by 16,000 to 453,000 in the week ended Sept. 25, lower than the 460,000 median estimate from 47 economists, Labor Department figures showed. Unemployment has hovered around 10%. A government report showed that the US economy grew at a 1.7% annual rate in the second quarter. The revised US GDP figure exceeded the 1.6% median forecast. Economic growth in the US slowed from 3.7% in the first quarter.