Oil hovers above $62 on optimism about economic recovery

                                
 * Oil hovers near six-month high at above $62/bbl
                                
 * Saudi sees slight "uptick" in demand, $75/bbl in 2H
                                
 * Japanese exports show modest signs of recovery
                                
 * U.S. consumer confidence jumps
                                
 By Fayen Wong
                                
 PERTH, May 27 (Reuters) - Oil hovered little changed near a
six-month high above $62 a barrel on Wednesday, as a jump in
U.S. consumer confidence buoyed hopes that the global economy
was on its way to recovery and demand for oil would rise.
                                
 Oil gained over 1 percent on Tuesday, bolstered by the U.S.
data and comments from OPEC kingpin Saudi Arabia that prices
may continue to rise.
                                
 U.S. crude oil for July delivery <CLc1> edged down 6 cents
to $62.39 a barrel by 0215 GMT, after having touched $62.95 in
early trade. The contract settled at $62.45 a barrel on Tueday
-- its highest close since Nov. 5.
                                
 London Brent crude <LCOc1> fell 4 cents to $61.20.
                                
 "Oil is being supported by the U.S. consumer confidence
data," said David Moore, a commodities analyst at the
Commonwealth Bank of Australia.
                                
 U.S. consumer confidence posted its biggest monthly jump in
six years and 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, giving hopes of improvement in the U.S.
and the global economy. [ID:nN26486468]
                                
 Reinforcing market views that the worst of the global
economic crisis may be over, Japan's exports showed modest
signs of recovery in April with shipments to China declining at
a slower pace than a year earlier. [ID:nT224936]
                                
 Asian stocks, tracking Wall Street's rally, opened higher
on Wednesday, with Japan's Nikkei average gaining 1.5 percent
and Hong Kong shares expected to open 2.4 percent higher.
                                
 Expectations of a further drawdown in U.S. crude
inventories also lent support to prices, analysts said.
                                
 A preliminary Reuters poll ahead of U.S. weekly inventory
data showed forecasts for a 1.1 million drawdown in crude
stocks and a 1.8 million decline in gasoline stocks last week.
[ID:nN26504104]
                                
 Data from the American Petroleum Institute data will be
delayed one day until Wednesday while U.S. Energy Information
Administration oil inventory data will be released on Thursday
due to the U.S. Memorial Day holiday on Monday.
                                
 Oil prices are now double the four-year low of around $33
struck in December, as rallying equity markets sparked hopes
that recent government stimulus measures will hasten the speed
of a global economic recovery.
                                
 Saudi Arabian Oil Minister Ali al-Naimi told journalists
ahead of Thursday's OPEC meeting he hoped oil prices would hit
$75 a barrel later this year. [ID:nLQ335595]
                                
 OPEC, which have already cut production by 4.2 million
barrels per day since September, is expected to leave output
levels unchanged at its meeting in Vienna on expectations
prices will continue to rise despite swollen stockpiles and
slumping demand. [ID:nLQ937932]
                                
 With a host of key economic data on the tap later today,
analysts said any negative surprises would pose the largest
downside risk for oil prices, which have jumped about 21
percent so far this month.
                                
 Economic data expected from the U.S. include weekly
mortgage market index, weekly retail sales and home sales in
April. [ECON]
 (Reporting by Fayen Wong; Editing by Kim Coghill)