Oil rose as much as 1.4 percent as equities gained on higher profits from CVS Caremark Corp. (CVS) and Chesapeake Energy Corp. (CHK) The euro advanced against the dollar, boosting the appeal of commodities to investors. Tension increased in Syria after rebels said Prime Minister Riad Hijab defected in the highest- ranking departure since an uprising began last year.

“The oil market is getting strength from the financial side,” said Gene McGillian, an analyst and broker at Tradition Energy in Stamford, Connecticut. “Equities are up and the dollar is down. We’re also getting support from increasing geopolitical risk in the Middle East.”

Crude oil for September delivery increased $1.16, or 1.3 percent, to $93.36 at 11:01 a.m. on the New York Mercantile Exchange. The contract touched $93.49, the highest level since May 17. Prices are down 5.5 percent this year.

Brent oil for September settlement rose $1.85, or 1.7 percent, to $111.40 on the London-based ICE Futures Europe exchange. The contract reached $111.63, the highest level since May 16. The European benchmark’s premium to West Texas Intermediate, the grade traded in New York, increased to $18.04 from $17.35 yesterday.

Brent Exports

Daily exports of North Sea Brent, Forties, Oseberg and Ekofisk crudes, which make up the Dated Brent benchmark, in September will be 7 percent less than this month, loading programs obtained by Bloomberg show. Exports will be 720,000 barrels a day versus 774,194 barrels in August, according to the plans.

Dated Brent is used to price more than half of the world’s oil supplies. Loading programs are monthly schedules of crude shipments compiled by field operators to allow buyers and sellers to make plans.

“The very lean North Sea loading programs are having a major impact on prices,” said Mike Wittner, head of oil market research at Societe Generale SA in New York. “Although we’ve known for a while about the cutbacks, it appears that the loss of the North Sea barrels hasn’t been fully priced in.”

The Standard & Poor’s 500 Index (SPX) gained 0.7 percent and the Dow Jones Industrial Average increased 0.6 percent. The dollar dropped against the euro. The S&P GSCI Index of 24 raw materials climbed 0.7 percent.

‘Sentiment Improving’

Federal Reserve Bank of Boston President Eric Rosengren said on CNBC that the central bank should pursue an “open- ended” easing program of “substantial magnitude” to boost growth and hiring amid a global slowdown. German Chancellor Angela Merkel backed a bond-buying plan announced last week by the European Central Bank, a spokesman said yesterday.

“There are expectations that the Europeans will take additional steps to deal with the crisis and of further monetary easing here,” Wittner said. “Sentiment is improving.”

An Energy Department report tomorrow will probably show that U.S. crude stockpiles dropped 1.55 million barrels last week, according to the median of 10 analyst estimates in a Bloomberg survey. Oil inventories plummeted 6.52 million barrels in the week ended July 27, the biggest slide since December.

Chevron Corp. (CVX) said it shut a crude unit after a fire at its 240,000-barrel-a-day Richmond, California, refinery.( Bloomberg )