* China's mixed Q1 GDP data pares gains
* U.S. weekly jobless claims due later
By Jennifer Tan
SINGAPORE, April 16 (Reuters) - Oil fell back below $50 a
barrel on Thursday, after surging more than 2 percent as equity
markets rallied on signs the U.S. recession was easing,
boosting hopes of a demand recovery in world's top energy
consumer.
The market will be eyeing U.S. weekly jobless claims, due
later in the day, for further signs that the speed of
contraction in the economy was abating.
Guardedly positive comments on the U.S. economy from the
Federal Reserve's Beige Book report outweighed bearish
government data showing that U.S. crude inventories last week
rose to the highest level in nearly 19 years, sparking a rally
on Wall Street overnight and Asian shares on Thursday.
But oil pared some gains after China released mixed
economic data. The world's second-largest energy consumer said
its economy grew a slower-than-expected 6.1 percent in the
first quarter, but posted other data, such as industrial
output, that signalled some optimism. []
By 0406 GMT, U.S. crude for May delivery <CLc1> was up 63
cents to $49.88 a barrel, after rising to $50.30 earlier. ICE
Brent crude for the new front-month of June <LCOc1> was up 53
cents at $52.97 a barrel.
"The U.S. inventory stats were really, really bad and we
expected oil to fall to around $43 to $48, but the bottom was
pretty firm even with the terrible data, and it's trading
around plus or minus $50," said Tony Nunan, risk manager at
Tokyo-based Mitsubishi Corp.
"It looks like the market has found its bottom, but it's
going to struggle to go up from here."
MIXED ECONOMY OUTLOOK
The Energy Information Administration's (EIA) weekly
inventory report showed a 5.6 million-barrel rise in U.S. crude
stocks, to 366.7 million barrels -- the highest since September
1990 -- beating analysts' expectations of a 1.9 million-barrel
build. []
The Fed's Beige Book showed that the U.S. economy continued
to weaken in March and early April, but the pace of decline was
easing amid scattered signs the country's recession may be
nearing an end. []
Wall Street stocks took heart from the report's cautiously
reassuring tone, which broke a string of depressing news from
the closely watched Beige Book, and the Dow Jones industrial
average <> closed 1.38 percent higher after a choppy
session. []
After an early lift from Wall Street, Asian stocks pulled
back from a six-month high on Thursday, after China posted its
slowest-ever quarterly growth.
U.S. jobless claims, due at 1230 GMT, are forecast to hit a
total of 655,000 new filings, versus 654,000 in the prior week,
a Reuters poll of economists showed.
Crude prices have tumbled nearly $100 per barrel since last
July, as the global recession dented oil demand, but they have
recovered in recent months from a low of $32.40 in December.
The Organization of the Petroleum Exporting Countries said
on Wednesday that world oil demand would fall by 1.37 million
barrels per day (bpd) in 2009, revised from its previous
forecast for a fall of 1.01 million bpd. []
Both the International Energy Agency (IEA) and U.S.
government agency EIA have also just reduced their global
demand forecasts.
(Editing by Ramthan Hussain)
