* U.S. crude and Brent prices above $80 for whole of April
* For short-term technical outlook on oil []
* U.S. GDP figures confirm recovery from recession
* Coming Up: U.S. prices data: 1230 GMT Monday
(Updates prices)
By Christopher Johnson
LONDON, April 30 (Reuters) - Oil rose on Friday, heading for
a third straight monthly gain, driven by expectations of global
economic recovery and hopes of a bailout package to help Greece
avoid debt default.
Benchmark U.S. crude futures have risen around 2 percent
this month despite bulging U.S. oil inventories, Greece's fiscal
troubles, Iceland's volcanic eruption, a lawsuit against Goldman
Sachs and the likelihood of tighter financial market regulation.
Oil has been supported by evidence that the world economy
has begun to grow again after its long slowdown.
U.S. gross domestic product expanded by 3.2 percent in the
first quarter, the Commerce Department said on Friday in its
first estimate, marking three straight quarters of growth after
its worst recession since the 1930s. []
Greece is preparing severe austerity measures to secure an
aid package, easing fears the debt crisis will spread across
Europe, and boosting the euro. [] []
U.S. crude for June rose 63 cents to $85.80 a barrel by 1243
GMT, not far below an 18-month high of $87.09 hit on April 6.
April is set to be the first month since September 2008 when the
front-month contract has traded continuously above $80 a barrel.
ICE Brent crude for June <LCOc1> gained 60 cents to $87.50,
trading about $1.70 above U.S. benchmark futures, also known as
West Texas Intermediate (WTI). WTI traded at discounts of more
than $3 to Brent earlier this week under pressure from soaring
inventories at the Cushing, Oklahoma delivery hub.
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
For a graphic of U.S. crude and Brent prices and the U.S.
dollar index <.DXY>, click on:
http://graphics.thomsonreuters.com/gfx/DFI_20103004100318.jpg
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
U.S. DATA
"Oil is responding to external factors, including a rising
risk appetite and hopes of economic recovery," said Carsten
Fritsch, commodities analyst at Commerzbank. "It is choosing to
ignore any bearish factors such as the very high oil stocks."
International Monetary Fund, European Union and European
Central Bank officials are in Athens to negotiate a bailout for
Greece and hope to wrap up a deal within days in an effort to
prevent the debt crisis from sinking other fragile EU countries.
U.S. economic growth was slightly slower than expected in
the first quarter, Friday's figures showed, held back by
inventories and exports, but resurgent consumer spending offered
evidence of a sustainable recovery.
Analysts polled by Reuters had forecast GDP, which measures
total goods and services output within U.S. borders, growing at
a 3.4 percent rate in the first three months of 2010 after a 5.6
percent growth pace in the fourth quarter. The first-quarter
rise was the largest since the first quarter of 2007.
Olivier Jakob, consultant at Petromatrix, said a giant oil
spill in the Gulf of Mexico could be a supportive factor for
U.S. crude futures but negative for Brent if it began to disrupt
oil imports in the U.S. Gulf:
"That would result in crude oil stock draws in the United
States and the backed-up crude oil would force some redirection
of barrels towards Europe which would then pressure the Brent
timespreads lower and force Brent back to a discount to WTI."
Click [] for stories on the oil spill.
(Editing by William Hardy)
