Oil prices rose on Thursday, building on big gains in the previous session on signs the U.S. crude glut is not growing as fast as expected and that gasoline demand battered by COVID-19 restrictions is starting to pick up.

West Texas Intermediate (WTI) crude (CLc1) futures climbed to a high of $16.25 a barrel and were up 7.2%, or $1.08, at $16.14 at 0147 GMT. The U.S. benchmark surged 22% on Wednesday.

Brent crude rose 3.9%, or 88 cents, to $23.42 a barrel in light trading, with the June contract expiring on Thursday. The contract hit a high of $23.65 in early trading, having posted a 10% gain on Wednesday.

The May WTI contract plunged to historic lows below zero last week, but recovered the next day to expire at $10.01 a barrel. The June contract for the U.S. benchmark is now holding above $16 a barrel, and market strategists said while the market is likely to remain volatile, it may have found a floor.

Source : Reuters