Oil above $59

Oil prices rose above 59 dollars in asian trade tuesday on hopes for a relatively quick rebound in the US economy & the escalating unrest in african crude producer Nigeria. NewYork's main futures contract, light sweet crude for delivery in june, reversed earlier losses & was trading 62 cents higher at 59.65 dollars per barrel in the afternoon. Brent North Sea crude foq july was up 67 cents to 59.14. US stocks soared monday after better than expected earnings from home improuement retailer Lowe's helped reinforce hopes for a recovery in tahe US. A strong US economy is a key growth engine for the world because it is a major export market for many countries. "Oil seems to stay resilent in spite of ample suply as it contries to focus on the prospects of economic recovery & the rising risk of commodity price inflation" said Phil Flynn at Alaron Trading. A rebound from the global downturn will boost oil demand & lift prices higher.
---AFP