Oil rebounds after steep drop, underpinned by tight supplies

Oil prices recovered on Thursday from a steep drop in the previous session, supported by tight oil supply and peak summer consumption, after a U.S. rate hike sparked fears of slower economic growth and less fuel demand.

Brent crude futures rebounded $1.10, or 0.9%, to $119.61 a barrel by 0202 GMT while U.S. West Texas Intermediate (WTI) crude futures rose to $116.59 a barrel, up $1.28, or 1.1%.