FXStreet (Mumbai) - Oil benchmarks on both sides of Atlantic extended its ongoing recovery mode in Europe and rallied well above $ 30 mark, posting the largest weekly rally seen in a quarter. Short squeeze or pick-up in demand? Currently, WTI rallies +4.70 to 30.90, while the Brent oil gallops +5.45% to 30.84. Oil bulls retain control and accelerate the upside in the black gold as the unwinding of the short positions combined with pick-up in demand on colder temperatures in the US and Europe, aid the oil price recovery from twelve-year troughs. However, traders still remain on the back foot and refrain from taking fresh positions in oil as they see no major fundamental catalyst behind the recent rebound in oil. While omnipresent oversupplies continue to keep the oil prices vulnerable. ON Thursday, the EIA weekly stockpiles report showed the US crude inventories rose 4 million barrels in the last week, compared with expectations for an increase of 2.8 million barrels. In the day ahead, markets eye the US rig count data for fresh cues on oil. For more information, read our latest forex news.