Oil rose more than $3 on Wednesday on speculation that a decision by central banks to provide cash to financial institutions will generate economic growth.

Crude oil for delivery in January rose $3.74 or 4.15 percent, to $93.76 a barrel at 4:08pm on the New York stock exchange. Brent crude for January delivery trading on the London ICE Futures Europe exchange rose $4.28 or 4.81 percent , to $93.26 a barrel.

The Federal Reserve and major central banks, including the European, Swiss and English, coordinated on Wednesday to ease credit pressure by creating a temporary short-term lending facility.

Meanwhile, the Energy Department said last week that U.S. crude oil supplies rose. Demand for fuel has averaged 21 million barrels. Crude oil inventory fell to 722,000.

Crude oil Update