NYMEX crude hovers above $54 on economic optimism

                                
 SINGAPORE, May 5 (Reuters) -  U.S. crude oil futures
hovered well above $54 a barrel on Tuesday, near their highest
settlement so far this year, as investors bet the economic
recession would end soon, paving the way for a recovery of
ailing world energy demand.
                                
 * NYMEX crude for June delivery <CLc1> was trading down 6
cents at $54.41 a barrel in Globex electronic trading by 0036
GMT after having settled at $54.47 on Monday, the contract's
highest settlement since Nov 24.
                                
 OIL UP ON HOPES THAT ECONOMIC RECOVERY IN SIGHT
                                
 * The U.S. recession is fading and growth will resume later
this year, which means the Federal Reserve must not wait too
long before tightening monetary policy, Richmond Federal
Reserve President Jeffrey Lacker said. [ID:nWEQ000954]
                                
 * U.S. construction spending rose 0.3 percent in March in
the first increase since September, according to Commerce
Department data. [ID:nN04391664]
                                
  * Pending U.S. existing home sales rose unexpectedly in
March, a private survey showed. [ID:nOSL010182]
                                
  * Another survey of Chinese manufacturing supported the
reviving-economy view. An index based on a poll of industry
executives conducted for Hong Kong-based brokerage CLSA rose to
a nine-month high of 50.1 in April from 44.8 in March.
[ID:nPEK78002]
                                
 * India's factory activity expanded in April for the first
time in five months, according to the ABN AMRO Bank purchasing
managers' index <INPMI=ECI>. [ID:nMBI003044]
                                
 DOLLAR
                                
 * The dollar fell as U.S. and European stock markets rose
and investors took on more risk in hopes the worst of the
recession may be nearing an end. [USD/]
                                
 * The MSCI index of Asia-Pacific stocks outside Japan
<.MIAPJ0000PUS> rose 0.46 percent by 0034 GMT. Japanese markets
were closed for a public holiday.
                                
 US STOCKS FORECAST
                                
 * A preliminary Reuters poll of analysts ahead of weekly
U.S. petroleum inventory reports showed an average forecast for
a 2.6 million barrel increase in crude supplies for the week to
May 1. The poll also forecast increases in gasoline and
distillate inventories. [EIA/S]
                                
 To read the previous day's closing report click on    
[O/R]
                                
 To read the previous technical report click on        
[O/I]
                                
 Diary of upcoming energy news and events          
[O/DIARY]
                                
  Oil prices as of 0036 GMT          
 Contract Mnth    Price  Change  Day ago     pct     MA-20*
 NYMEX Contracts
 US Crude JUN9   $54.41   -0.06   +$1.27  +2.39%     $50.15
 Heat Oil JUN9   143.36   -0.09    +4.61  +3.32%     137.42
 RBOB     JUN9   159.00   +0.40    +6.86  +4.52%     145.36
 Natgas   JUN9   $3.690  -0.035  +$0.179  +5.05%     $3.539
 ICE Contracts
 Brent    JUN9   $54.62   +0.04   +$1.73  +3.27%     $51.60
 Gasoil   MAY9       --   +0.00  +$12.00  +2.74%    $437.26
 Note: U.S. heating oil and RBOB gasoline contracts listed in
cents per gallon.
 * = 20-day moving average for continuation month.
                                
(Reporting by Maryelle Demongeot; Editing by Kim Coghill)