Oil futures: Crude prices rebound $1/b on positive US economic data, no outcome yet on Iran

London (Quantum Commodity Intelligence) - Oil futures recovered earlier losses in late trading Thursday, as positive economic indicators from the US underpinned demand-growth optimism, while a timeline on the return of Iranian oil into the market, which has been weighing on prices, remains uncertain.

Brent futures for front-month July were trading at $69.09/barrel (1720 GMT), compared to the day's low of $68.11/b.

At the same time July WTI was trading $66.58/b, versus the intraday low of $65.47/b.

US figures showing jobless claims continuing to fall, along with data showing positive business sentiment helped lift oil futures off the lows.

Wednesday's inventory data was also seen as a positive factor, as US crude stocks fell by over 1.5 million barrels in the seven-day period to May 21, weekly data from the EIA showed.

The bullish report also saw big draws in gasoline and distillates as the refinery utilization rates fell.

On the downside, a deal to allow Iran to resume crude exports continues to weigh on sentiment, although sources said there is a growing feeling among OPEC+ producers that the market can absorb any gradual return of Iranian crude – a move supported by Russia.  

OPEC+ will hold its next virtual meeting June 1, where it will discuss production policy beyond August, along with the potential impact of Iranian oil in the market later this year.