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Oil prices rose further on Thursday, after having settled near two-week highs the previous day on signs of a strong economic rebound in China.
Benchmark Brent crude futures rose half a percent to $84.74 a barrel, while WTI crude futures were up 0.6 percent at $78.17.
Both contracts rose about 1 percent on Wednesday after reports on key measures of China manufacturing showed a strong recovery, raising optimism about the outlook for energy demand.
The optimism over a revival in Chinese demand helped investors overlook concerns over tighter U.S. monetary policy and another weekly build in stockpiles.
Data released by Energy Information Administration (EIA) on Wednesday showed crude stockpiles rose by 1.165 million barrels in the week ended February 24, rising for a 10th straight week. The increase was nearly 4 times over the level seen a week earlier.
Gasoline inventory dropped by 0.874 million barrels last week, as against an expected increase of 0.464 million barrels, while distillate stockpiles rose by 0.179 million barrels versus the expected drop of 0.462 million barrels.
Separate data from the American Petroleum Institute showed that stocks in the United States, the world's biggest oil consumer and producer, rose by 6.2 million barrels in the week ended February 24.
