NYMEX-Crude ends at 5-week high; eyes data, weather
* U.S. Gulf disturbance may become cyclone in 48 hours-NHC * U.S. crude inventories seen lower last week - poll * Coming up: API oil data, 4:30 p.m. EDT, Wednesday NEW YORK, Sept 7 (Reuters) - U.S. crude oil futures
rebounded sharply on Wednesday, ending at a five-week high on
forecasts that inventory data would show a drawdown in crude
stocks last week and concerns that more stormy weather could
hit the U.S. Gulf of Mexico. The dollar fell as appetite returned for riskier assets,
and Wall Street rallied after three days of losses as Europe's
debt concerns eased. Both were supportive for crude oil
futures, traders said. U.S. crude stockpiles may have fallen 1.9 million barrels
last week, a preliminary Reuters poll of analysts showed ahead
of weekly inventory reports. Distillate stocks were forecast 600,000 barrels lower and
gasoline stocks were projected down 2.0 million barrels.
[EIA/S] Tropical Storm Maria formed in the Atlantic while Hurricane
Katia churned up the surf along the beaches of Bermuda and the
eastern United States, the U.S. National Hurricane Center
said. More important to the oil industry, however, was a new
disturbance located in the southwest Gulf of Mexico. NHC
forecasters gave it a 60 percent chance of developing into a
tropical cyclone in the next few days. Computer models projecting its path varied widely. Some
took it west over Mexico while at least one model took it
northeast toward the Louisiana-Mississippi coast. At least 516,451 barrels per day, or 36.9 percent, of U.S.
oil production in the Gulf of Mexico remained offline as of
midday Wednesday after Tropical Storm Lee, down from 60.5
percent shut on Tuesday, the U.S. Bureau of Ocean Energy
Management said. Some 958.4 million cubic feet per day of natural gas
output, or 18.1 percent, remained shut in, down from 41.6
percent on Tuesday, the agency said.
FUNDAMENTALS * On the New York Mercantile Exchange, crude for October
delivery CLV1 settled at $89.34 a barrel, rising $3.32, or
3.86 percent, the highest close since Aug. 3's $91.93 on a
continuous price chart. The day's gain was the the biggest
one-day percentage rise since Aug. 10, when prices rose 4.53
percent. The contract traded from $86.15 to $89.74. * U.S. crude's discount against Brent crude narrowed to
$26.46 at the close, from $26.87 on Tuesday.
* U.S. retail gasoline demand fell last week by 4.2 percent
year-on-year and 5.9 percent versus the previous week,
MasterCard said in a weekly report.
* The U.S. Energy Information Administration left its 2011
world oil demand growth unchanged in its monthly forecast and
cut its 2012 oil demand growth estimate by 250,000 bpd to 1.39
million barrels per day.
* Mexico's largest oil refinery shut down on Tuesday after
a power outage but Pemex said it expected operations
to resume by the end of the day.
* Iran has been importing four to five cargoes of gasoline
per month, with most of it supplied by China.
* Libya's new leaders sent envoys to neighboring Niger to
try to prevent Muammar Gaddafi and his entourage evading
justice by fleeing across a desert frontier toward friendly
* Led by financial stocks, Wall Street rallied after a
three-day losing streak as Germany's top court smoothed the way
for Berlin's participation in bailout packages that could ease
Europe's debt crisis.
* In late trading, the U.S. dollar was down 0.6 percent
against a basket of major currencies. .DXY The euro rallied
as worries about euro zone sovereign debt abated.
* Copper ended nearly 2 percent higher, snapping four days
of losses, as global stock markets rose amid labor disputes at
some big mines.
* Gold fell as much as 4 percent as investors pulled money
from the safe haven to put them in equities, after the German
court ruling. UPCOMING DATA/EVENTS
* U.S. weekly jobless claims, 8:30 a.m. EDT (1230 GMT),
* U.S. Energy Information Administration oil inventory data
at 11 a.m. EDT (1500 GMT) on Thursday. SETTLE NET PCT LOW HIGH CURRENT DAY AGO CHNG CHNG VOL VOL
CLc1 89.34 3.32 3.9% 86.15 89.74 284,820 316,166
CLc2 89.55 3.24 3.8% 86.45 89.94 91,467 63,604
LCOc1 115.80 2.91 2.6% 112.70 116.03 188,151 188,944
RBc1 2.9080 0.0854 3.0% 2.8210 2.9103 31,857 56,161
RBc2 2.8606 0.0818 2.9% 2.7789 2.8623 21,389 30,885
HOc1 3.0756 0.0654 2.2% 3.0096 3.0786 38,281 64,524
HOc2 3.0856 0.0658 2.2% 3.0194 3.0887 19,465 17,503
TOTAL MARKET VOLUME OPEN INTEREST CURRENT Sep 06 30D AVG Sep 06 NET CHNG
CRUDE 575,408 547,932 694,929 1,523,907 -335
RBOB 80,436 119,518 120,141 252,892 1,647
HO 87,718 117,448 119,362 305,373 -3,449
(Reporting by Gene Ramos and Robert Gibbons)