Crude oil continued to rise after encouraging manufacturing data although a resurgent dollar limited the advance.

US light crude oil for February delivery added 26 cents to settle at $81.77 a barrel on the New York Mercantile Exchange. Earlier in the session the contract hit $82 a barrel as new factory orders rose 1.1% in November, the third increase in a row and more than double estimates.

Optimism about a strong economic recovery is driving oil prices higher and traders will be keeping a close watch on upcoming economic data to see if it continues to show an upbeat picture.

Oil prices did come under pressure during Wednesday’s session, dropping to $80.95 a barrel after the National Association of Realtors Pending Home Sales index fell 16% in November, the first negative month after nine consecutive months of gains. Crude later recovered gains.

Gold prices finished slightly higher, losing its grip on bigger gains, as the dollar strengthened against major currencies. The disappointing home sales data sparked interest in the greenback and reduced gold’s appeal as an alternative investment.

Comex gold for February delivery settled 40 cents higher at $1,118.70 an ounce in New York.