* Prices supported by U.S. stockdraw, weaker dollar
* Delays with coronavirus vaccines in EU fuels demand
concerns
* China limits Lunar New Year trips as COVID cases rise
(Updates prices, adds detail, comment)
By Ahmad Ghaddar
LONDON, Jan 28 (Reuters) - Oil rose about 1% on Thursday
after early declines on a weaker dollar and U.S. inventory
drawdowns, but delays to vaccine rollouts and fresh travel curbs
to prevent new coronavirus outbreaks kept further gains at bay.
Brent crude futures were up 53 cents at $56.34 a
barrel by 1454 GMT, having hit a session low of $55.31.
U.S. West Texas Intermediate (WTI) crude futures were
up 52 cents at $53.37 after dropping as low as $52.22.
Oil prices were supported by data on Wednesday showing a
huge 10 million barrel decline in U.S. crude inventories last
week, which analysts said was because of a pick-up in U.S. crude
exports and a drop in imports.
"The draw was a big relief for inventories, especially as it
followed a week of builds, putting traders at ease that supply
doesn't overwhelm demand for the time being," Rystad Energy's
Louise Dickson said.
The U.S. dollar index flipped into negative territory
after earlier gains, which also helped support oil prices.
Buyers using other currencies pay less for dollar-priced oil
when the greenback falls.
The U.S. economy in 2020 contracted at its sharpest pace
since 1946 as the pandemic depressed consumer spending and
business investment, pushing millions of Americans out of work
and into poverty, data showed on Thursday.
Demand concerns weighed on sentiment, however, preventing
further price gains.
Stricter vaccine checks by the European Union and delivery
hold-ups from AstraZeneca and Pfizer have slowed
the rollout of shots.
In China, the world's second-largest oil consumer, a surge
in coronavirus cases has led to travel restrictions ahead of the
Lunar New Year, normally the busiest travel season of the year.
The Chinese Ministry of Transport has forecast the number of
trips that will be taken will rise 15% from last year, when the
virus was raging, but is still likely to be down 40% from 2019.
(Additional reporting by Shu Zhang in Singapore and Sonali Paul
in Melbourne
Editing by Barbara Lewis, David Goodman, Alexandra Hudson)
Astrazeneca (AZN)
