Oil resumes gains after upbeat European data

Oil prices rose on Friday, to resume gains after yesterday's breather, thanks to strong economic data in Europe that lifted hopes for the global demand recovery from the coronavirus impact.

The US crude rose 1% to $41.44, after opening at $41.04, and hit a session-low at $40.74, and Brent crude rose 0.8% to $43.63, after opening at $43.28, with a low of $43.03 .

The US crude lost 2.1%, and Brent crude futures fell 2.2% yesterday, to post their first loss in 4 days, due to US oversupply concerns.

Data showed today that the manufacturing sector in most parts of Europe grew in July at the best pace in two years, especially in the largest European economy, Germany.

These data show that the Eurozone economy is recovering at a faster rate than expected pace from the coronavirus damages, after the EU launched a historic economic recovery fund, and successful containment of the coronavirus outbreak by most of the European countries.

The data also raised hopes for a global demand recovery, which is already returning to pre-pandemic levels.

The global oil demand crashed 30 million bpd or 30% of the pre-pandemic levels in March, due to the "Great Lockdown" of the global economy.