Oil prices rise after drop in US unemployment

NEW YORK—Oil prices rose yesterday after the government reported that the US economy added more jobs last month, which could drive up demand for fuel with more people heading back to work. Benchmark crude rose by 76 cents to US$97.12 per barrel in morning trading in New York. Brent crude rose by US$1.54 to US$113.61 per barrel in London. Prices jumped after the Labour Department reported that the US economy added 243,000 jobs in January. That was an unexpectedly big increase for the first month of the year and the unemployment rate fell to 8.3 percent. The government says companies hired across the pay scale, from high-salary professional services to manufacturing.

Oil has slid from above US$100 a barrel last week amid investor concern that rising US crude inventories reflect waning demand. In other energy trading, heating oil added 3.96 cents to US$3.0925 per gallon. Natural gas fell by 6.4 cents to US$2.49 per 1,000 cubic feet. Gasoline futures increased by 3.04 cents to US$2.8993 per gallon.

AP