* Rising equities, weaker dollar support oil prices
* Chinese oil demand rose 19.4 pct in Feb
* US drivers covered 1.6 percent less highway miles in Jan.
* Coming up: EIA on Wed, Euro zone summit March 25-26
(Updates prices and details)
By Edward McAllister
NEW YORK, March 22 (Reuters) - Oil rose for the first time
three days, climbing above $81 a barrel on Monday as a new U.S.
healthcare reform bill boosted Wall Street and the dollar
weakened slightly against foreign currencies.
President Barack Obama's landmark healthcare overhaul
brought relief to investors and sent shares in the healthcare
sector higher after a year of volatile trading on concerns over
the burdens from reform. []
The dollar weakened slightly against a basket of foreign
currencies <.DXY>, after it had strengthened against the euro
earlier Monday, on uncertainty about aid for debt-stricken
Greece. A weaker dollar can indicate investors are moving money
into assets deemed to carry more risk, such as commodities and
equities. []
U.S. crude for April delivery <CLc1>, which expired on
Monday, rose 57 cents to settle at $81.25 a barrel, after
falling to as little as $78.57 earlier in the day. Brent crude
for May delivery <LCOc1> rose 66 cents a barrel to settle at
$80.54 a barrel.
"The (oil) market is following gains in the S&P (stock)
index," said Tim Evans, energy analyst at Citi Futures
Perspective in New York. "Oil fundamentals really have not
improved, so it's all about where the money flows are going
right now."
The S&P index was up 0.7 percent in afternoon trading.
<.SPX>
Oil prices fell in two consecutive weeks through Friday,
falling further from a 2010 high of $83.95 a barrel reached in
January.
While crude inventories have been falling in industrialized
countries and global demand is expected to rise, supply remains
ample. A preliminary Reuters poll on Monday showed that
analysts expect U.S. crude oil stocks probably rose 1.3 million
barrels last week after crude imports increased. Official
supply and demand figures will be released Wednesday by the
U.S. Energy Information Administration. []
Americans drove less in January, covering 1.6 percent less
vehicle miles than in the same month of 2009, according to
figures released on Monday by the Department of Transportation.
The fall in miles driven was the first monthly decline in a
year. []
A Greek fiscal crisis has helped make investors more
cautious of risky assets in recent weeks, boosting the dollar
against the euro. European leaders sent out conflicting signals
at the weekend over aid to Greece, with Germany urging Athens
to solve its debt problems alone and Italy backing EU support.
EU leaders will meet on March 25-26. []
The latest indication of China's growing oil demand is
supportive of oil prices. Implied oil demand in the world's
second-biggest energy user rose 19.4 percent in February over a
year earlier, as quick economic growth boosted fuel use by
industries and motorists.
Domestic commercial crude oil inventories in China rose 5.2
percent in February over January to 28.2 million tonnes, China
OGP reported on Monday. []
(Additional reporting by Joshua Schneyer, Gene Ramos and
Robert Gibbons in New York, Alex Lawler in London, Seng Li Peng
in Singapore; Editing by Lisa Shumaker)
