2021.02.0509:11:00UTC+00Oil Prices Climb On US Growth Optimism

Oil prices rose on Friday to reach their highest levels since 2020 after the release of upbeat U.S. data and amid expectations of a large U.S. stimulus package.

Benchmark Brent crude rose over 1 percent to $59.62 a barrel, while U.S. West Texas Intermediate (WTI) crude futures were up 1.3 percent at $56.98, reaching its top since Jan. 22 last year.

A report from the Labor Department showed a continued decline in first-time claims for U. S. unemployment benefits in the week ended January 30th in a sign that layoffs are abating.

The U.S. factory sector is also showing solid momentum, with orders rising for eighth straight months.

Orders for manufactured goods rose 1.1 percent in December after a 1.3 percent gain in the prior month, the Commerce Department said overnight.

The U.S. Labor Department will release its closely-watched report on the employment situation in the month of January later in the day.

Economists expect employment to rise by 50,000 jobs in January after a decline of 140,000 jobs in December.

Markets have ramped bets on stimulus and Covid-19 vaccines to fuel a swift economic rebound.