Investing.com - Crude oil futures rose to the highest level in seven weeks Wednesday, after data showed that China’s economy grew slightly more than expected in the first quarter, while heightened geopolitical risk also underpinned prices.
On the New York Mercantile Exchange, crude oil futures for delivery in May were up 0.86% to $104.65 a barrel in the Globex electronic session, the most since March 4.
Official data released on Wednesday showed that China’s gross domestic product expanded at an annual rate of 7.4% in the first three months of 2014, slowing from 7.7% in the fourth quarter, but slightly ahead of expectations for growth of 7.3%.
The data supported the demand outlook in the world’s second largest energy consumer.
Crude prices received an additional boost as tensions between Russia and Ukraine escalated, prompting fears over possible supply disruptions.
Ukrainian troops continued operations to recapture state buildings from armed pro-Russia separatists in the east of the country on Wednesday, as Russia's President Vladimir Putin warned that Ukraine is on the verge of civil war.
A report from the American Petroleum Institute late Tuesday showed U.S. oil inventories rose by 7.6 million barrels last week, while gasoline stocks fell by 500,000 barrels and distillate stocks dropped by 1.1 million barrels.
Oil investors were looking ahead to inventory data from the U.S. Energy Information Administration due out later Wednesday. Analysts were expecting a build of 2.25 million barrels for the week ended April 11.
Meanwhile, Brent oil for June delivery was up 0.55% to $109.97 a barrel on the ICE Futures Exchange in London, while the spread between the Brent and U.S. crude contracts stood at $5.32.