* Saudi sees slight "uptick" in demand, $75/bbl in 2H
* U.S. consumer confidence rises
* OPEC expected to maintain output
* Nigeria pipeline attack shuts in 100,000 bpd
(Updates prices, market activity)
By Matthew Robinson
NEW YORK, May 26 (Reuters) - Oil hit a fresh six-month high
on Tuesday, bolstered by U.S. consumer confidence data and
comments from OPEC kingpin Saudi Arabia that prices may
continue to rise.
Saudi Arabian Oil Minister Ali al-Naimi told journalists
ahead of Thursday's OPEC meeting he hoped oil prices would hit
$75 a barrel between the third and fourth quarters of this
year, well above lows in December below $33 a barrel.
[]
OPEC ministers meeting in Vienna are expected to leave
output levels unchanged on expectations prices will continue to
rise despite swollen stockpiles and slumping demand.
[]
U.S. crude oil <CLc1> rose 78 cents to settle at $62.45 a
barrel, the highest settlement since Nov. 5, after trading up
to $62.50 -- the highest intraday trade since Nov. 10. There
was no floor trading on the New York Mercantile Exchange on
Monday due to the U.S. Memorial Day holiday.
London Brent crude <LCOc1> settled up $1.03 at $61.24 a
barrel.
"The stock market rose on higher consumer confidence data,
pushing oil futures up," said Andy Lebow, broker for MF Global
in New York.
"A comment from the Saudi Arabian oil minister about prices
rising to $75 a barrel later this year is also supportive."
U.S. consumer confidence rose in May to its highest level
in eight months, jumping to 54.9 in May from a revised 40.8 in
April, the Conference Board said. []
The data helped lift U.S. stocks higher, rising hopes the
economic downturn may be easing. []
The economic crisis has hit crude demand, sending oil
prices off record highs near $150 a barrel struck in July,
prompting OPEC to agree a series of cuts since September aimed
at reducing output by 4.2 million barrels per day (bpd).
(For more on OPEC please double click on [])
Saudi minister Naimi said the cartel was likely to stay the
course when it meets on Thursday. But he could not say if there
was consensus between all members of the Organization of the
Petroleum Exporting Countries (OPEC).
Naimi said he hoped oil demand would recover in the second
half of 2008, and added there was already a slight "uptick" in
fuel consumption. []
Militant action in OPEC producer Nigeria has also supported
prices. Nigerian militants launched a major strike against the
oil industry late on Sunday, bombing a Chevron Corp <CVX.N>
pipeline and shutting 100,000 bpd of output. []
A Reuters poll of analysts forecast oil prices will average
$52.47 a barrel this year, up from $50.85 in April.
[]
A separate Reuters poll forecast weekly inventory data will
show crude oil stocks fell by 1.1 million barrels in the week
to May 22, while gasoline inventories were seen down by 1.8
million barrels. []
Due to the U.S. Memorial Day holiday, the American
Petroleum Institute data will be delayed by one day until
Wednesday while U.S. Energy Information Administration oil
inventory data will be released on Thursday.
(Reporting by Matthew Robinson, Robert Gibbons, Gene Ramos
in New York; Jane Merriman in London; Fayen Wong in Perth;
Editing by David Gregorio)
