Oil settles above $96 as demand prospects improve

SAN FRANCISCO — Oil futures closed above $96 a barrel Tuesday, with the expiring February contract logging its highest settlement since Sept. 18. Fueling oil-demand expectations, the Bank of Japan said it would loosen its monetary policy in a move to spur Japan’s economy and Germany’s ZEW economic-expectations index rose more sharply than expected in January. February crude oil (US:clg3) rose 68 cents, or 0.7%, to settle at $96.24 a barrel on the New York Mercantile Exchange. March crude (US:clh3), which is now the front-month futures contract, tacked on 64 cents, or 0.7%, to $96.68 a barrel.

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