SINGAPORE, Oct 13 (Reuters) - Oil rose past $82 on
Wednesday as expectations of economic stimulus by the United
States combined with a surprise jump in Japanese machinery
orders, raising hopes of a balanced market as OPEC maintains
production levels.
FUNDAMENTALS
* U.S. crude for November <CLc1> rose 37 cents to $82.04 by
0126 GMT, while ICE Brent <LCOc1> gained 33 cents to $83.83.
* The U.S. Federal Reserve on Tuesday released minutes from
its September meeting, which showed Fed officials believed the
struggling recovery might need further help soon and discussed
how that might be done. []
* Markets are now eyeing the Fed's next meeting on Nov. 2-3
for confirmation stimulus will come before the end of the year.
* Japanese core machinery orders unexpectedly jumped in
August, climbing for a third straight month, despite worries
about the impact on corporate capital spending from the yen's
strength. Japan, the world's third-largest oil consumer, last
week cut interest rates to prop up its economy.
* Markets also awaited Chinese trade data for September,
due on Wednesday.
* Oil ministers arriving in Vienna for OPEC's meeting on
Thursday, the first in seven months, signalled the producer
group would keep output targets steady. [] Saudi
Arabia's Ali al-Naimi this week said the oil market was "well
balanced".
* U.S. crude inventories probably rose for a second week in
a row last week, adding 1.2 million barrels, a Reuters survey
showed, while stockpiles of distillates including heating oil
and diesel may have declined for a third straight week,
shedding 1.3 million barrels in the week to Oct. 8.
* Gasoline supplies were also forecast to have slid for a
third week, down by 1 million barrels.
* Industry group the American Petroleum Institute (API)
will issue its weekly inventory report on Wednesday at 2030
GMT, followed by government statistics on stockpiles and demand
from the U.S. Energy Information Administration (EIA) on
Thursday at 1500 GMT. Both reports come a day later than usual
because of Monday's Columbus Day holiday.
MARKETS NEWS
* Japan's benchmark Nikkei average <> opened up 0.91
percent on Wednesday, after U.S. stocks rebounded and the
dollar eased a day earlier on news that policymakers at the
last meeting of the Federal Reserve suggested they were closer
to increasing money supply to revive a struggling U.S. economy.
[]
* The euro on Wednesday held on to gains made after the
release of the Fed minutes forced a pause in a dollar rebound
and left the greenback near key lows. []
DATA/EVENTS
* The following data is expected on Wednesday <ECON> (GMT):
- 0200 China Prelim Commodity Trade Data Sep []
- 0800 OECD IEA Oil Market Report Oct []
- 0900 Eurozone industrial production yy Aug <EUIPY=ECI>
- 1100 U.S. Mortgage index Weekly <USMGM=ECI>
- 1230 U.S. Import prices mm Sep <USIMP=ECI>
- 2010 U.S. Fed Chairman Bernanke Q+A session
- 2030 U.S. API weekly oil stocks Oct 9 <USOIAC=ECI>
RELATED NEWS
* The Obama administration on Tuesday lifted its ban on
deepwater drilling seven weeks ahead of schedule, saying new
rules cut the risk of a repeat of the BP <BP.L> oil spill, the
worst ever to hit the United States. []
(Reporting by Alejandro Barbajosa; Editing by Clarence
Fernandez)
