Global oil prices resume rise on US and China outlook        

China's service sector has gathered steam with the sharpest increase in sales in three months

The ESB generating station in Aghada, Co Cork. Picture: David Creedon/Anzenberger

Strong economic data from China and the US helped to lift oil prices by 2%, recouping some of the previous session's losses.

The global benchmark Brent gained $1.11 to $63.26 a barrel, as prices were buoyed as March data showed US services activity touched a record high. 

China's service sector has also gathered steam with the sharpest increase in sales in three months.

In addition, England is set to ease more coronavirus restrictions on April 12, allowing businesses — including all shops, gyms, hair salons, and outdoor hospitality venues — to reopen.

The market is recovering from steep losses earlier in the week, when both oil price benchmarks fell by about $3 because of increasing supply from a group of oil-producing nations and rising Covid-19 infections in India and parts of Europe.

The Organization of the Petroleum Exporting Countries (Opec) and allies, known as Opec+, agreed last week to bring back 350,000 barrels per day of supply in May, another 350,000 barrels in June and a further 400,000 daily barrels or so in July.

"Although Opec+ went against what most market participants and its own research team thought, raising its oil output significantly over the next three months, the market is now signalling that it is OK with it and is ready to benefit from the lack of uncertainty that a month-to-month update would have brought," said Louise Dickson, Rystad Energy's oil markets analyst.

Coronavirus-related deaths worldwide crossed 3m, according to a Reuters tally, as the global resurgence of infections challenges vaccination efforts around the globe.