FX.co ★ Oil Prices Gain On Weaker Dollar

Oil prices rose about 1 percent on Thursday, after ending notably lower overnight on data showing a much smaller than expected drop in U.S. crude inventories in the week ended July 21st.

Benchmark Brent crude futures climbed 0.9 percent to $83.34 a barrel, while U.S. crude futures were up 1.2 percent at $79.76.

A weaker dollar supported prices owing to the Fed's less-hawkish guidance on inflation and interest rates.

On Wednesday, the U.S. Federal Reserve announced a 25-bps rate hike, as widely expected, and left the door open for future hikes.

In his post-meeting press conference, Fed Chair Jerome Powell noted that a rate cut is unlikely this year, but the central bank will make decisions meeting by meeting after watching incoming economic data.

Meanwhile, data released earlier today showed the decline in China's industrial profits narrowed for the straight month in June, offering some respite to investors concerned about slowing growth in the world's second-largest economy.