Oil prices reverse early losses, rises towards $92 a barrel – US, UNG, CVX, SU, MRO, TOT, BP

The benchmark Brent crude reversed declines earlier in the day and climbed towards $92 a barrel on Thursday, with some oil dealers saying prices had fallen too far, too fast.

A slew of bearish news - from weak China data to Saudi output pledges - resulted in oil futures falling to a six-week low. It dipped as much as 1.4 percent for the fourth straight day in its longest losing streak.

Adverse news has wiped more than $8 off Brent since last Friday.

"We do regard the scale and above all the speed of the price slide as excessive," said a Commerzbank research note. "We expect to see a counter-movement in the next few days."

However the slide in oil prices was arrested and prices started to climb and held unto most gains after US data showed the number of Americans filing new claims for jobless benefits fell last week.

Crude for October delivery advanced 15 cents, or 0.15%, to $92.13 a barrel on the New York Mercantile Exchange.

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Analysts expect the Brent crude to trade in a narrow range between $107 and $108 a barrel next week. There are still a lot of expectations from China's growth, though everyone recognises that the days of its scorching pace of growth is over now.

Gains are likely to be capped with Saudi oil minister Ali-al Naimi saying last week that the world's top oil exporter was ready to calm rising prices.

In the United States, crude stockpiles jumped 8.5 million barrels last week, far more than the 1 million barrels forecast in a Reuters poll of analysts.

United States Oil Fund LP (ETF)(NYSEARCA:USO) jumped 0.35% to $34.23, United States Natural Gas Fund, LP(NYSEARCA:UNG) is flat at $19.10.

Suncor Energy Inc. (USA)(NYSE:SU) fell 0.42%, Chevron Corporation(NYSE:CVX) climbed 0.66% to $117.37, BP plc (ADR)(NYSE:BP) surged 0.28%., TOTAL S.A. (ADR)(NYSE:TOT) slumped 2.22% to $52 and Marathon Oil Corporation(NYSE:MRO) added 0.30%.