Investing.com - Crude oil futures rose on Friday, amid speculation the commodity's drop to multi-month lows on Thursday was excessive as the announcement of a fresh round of sanctions against Russia lent support.
On the New York Mercantile Exchange, U.S. crude oil for delivery in October traded at $93.24 a barrel during European afternoon trade, up 0.44%.
Prices jumped 1.27% on Thursday to settle at $92.83.
Futures were likely to find support at $90.43 a barrel, Thursday's low and resistance at $94.99, the high from September 5.
Oil prices dropped on Thursday after the International Energy Agency lowered its forecast for oil demand growth this year for the third month in a row, calling the recent slowdown in demand "nothing short of remarkable."
The agency said it expects global oil demand to grow by 900,000 barrels a day in 2014, a decrease of 65,000 barrels a day compared with last month’s forecast and down by 300,000 barrels a day since July.
Meanwhile, speculation over possible supply disruptions arose after the U.S. on Thursday said it will join the European Union in stiffening sanctions against Russia over the crisis in Ukraine, prompting the government in Moscow to threaten retaliation.
The U.S. Administration said it would be imposing the toughest round of energy sanctions so far on Moscow.
Elsewhere, on the ICE Futures Exchange, Brent oil for October edged up 0.10% to trade at $98.18 a barrel, with the spread between the Brent and crude contracts standing at $4.94 a barrel.