* Major stock indexes turn positive for 2010
* Saudi Arabia expected to cut export prices
* Iraq says OPEC unlikely to change output targets
* UAE says market is well supplied
* Coming up: U.S. inventory report from API at 1630 EST
(Recasts, updates prices, market activity; new byline,
dateline, previously LONDON)
By Edward McAllister
NEW YORK, March 2 (Reuters) - Oil jumped nearly 2 percent
to above $80 a barrel on Tuesday as the euro bounced against
the dollar and Wall Street strengthened as Europe tried to deal
with debt-laden Greece.
The euro was little changed against the dollar on Tuesday,
rebounding after falling to a 9-1/2-month low, as investors
awaited plans for Greece's economy recovery. []
[]
The oil market awaited weekly U.S. inventory data, from
industry group the American Petroleum Institute (API) due later
on Tuesday and from the U.S. government on Wednesday.
U.S. crude for April delivery <CLc1> jumped $1.54 to $80.24
a barrel by 12:35 p.m. (1735 GMT) In London ICE Brent <LCOc1>
for April delivery rose $1.69 to $78.58.
"Crude is going to remain volatile and subject to currency
influences as the crisis focus meanders between the euro zone
and the U.K. There is enough positive economic data out there
to keep prices near the $80 level," said John Kilduff, partner
at Round Earth Capital in New York.
Oil prices have often risen over the past year when the
dollar weakness, making crude less costly for holders of other
currencies.
Investors have looked to wider economic data over the past
year for signs of economic recovery and a potential rebound in
energy demand.
U.S. stocks rose, with major indexes turning positive for
the year, again on expectations that moves are being made to
alleviate Greece's fiscal crisis.
BP <BP.L> Chief Executive Tony Hayward told a conference
call on its strategy 1 million barrels per day (bpd) of
refinery capacity could be shut in Europe, the United States
and Japan this year. []
Prices have traded in a range between $69 and $84 a barrel
since last October, but $80 a barrel is being eyed as a key
resistance level, analysts said.
STOCKS AND SUPPLIES
U.S. crude inventories probably rose 1.3 million barrels
last week amid higher imports, a Reuters survey showed, while
gasoline stockpiles may have gained 400,000 barrels. []
OPEC meets next on March 17 and ministers are already
suggesting there will be no change to current output quotas.
[]
Iraqi Oil Minister Hussain al-Shahristani said he does not
expect OPEC to change its output target.
"Despite the fact the global economy is gradually
recovering, demand has not increased significantly enough to
make us reconsider our production ceiling," Shahristani told
Reuters. []
Crude oil markets remained well supplied, United Arab
Emirates Oil Minister Mohammed al-Hamli said. He said prices
between $70-$80 per barrel were acceptable to producers.
Top oil exporter Saudi Arabia is likely to cut the price of
all types of crude heading to export because of competition
from Russia's export blend and falling profit margins for fuel
oil sales, traders said.
(Additional reporting by Robert Gibbons and Gene Ramos in New
York and Jo Winterbottom in London; Editing by David Gregorio)
