Crude oil prices turned higher Thursday as US stocks steadied and downbeat US economic data raised hopes the Federal Reserve will keep interest rates ultra-low for the time being.

Feb. oil settled at $31.20/bbl on Nymex, up 72 cents, or 2.4%.

Concerns about surging global supplies prevented a bigger rebound.

Prices touched $29.93 earlier in the week, the lowest since 2003.

U.S. initial jobless claims for the first full week of January, meanwhile, rose by 7,000 to a seasonally adjusted 284,000, the Labor Department said this morning.

The four-week moving average of jobless claims was at its highest since July.

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