* EU leaders reach deal to help ease Greek debt crisis
* IEA and EIA raise oil demand growth estimates for 2010
* Higher heating fuel demand in U.S. due to heavy blizzard
(Updates detail, prices)
By Christopher Johnson
LONDON, Feb 11 (Reuters) - Oil climbed to around $75 a
barrel on Thursday as European leaders reached a deal to rescue
the beleaguered Greek economy and after upbeat predictions of
oil demand growth by two major forecasters.
EU president Herman Van Rompuy said on Thursday an
unprecedented deal had been agreed to stave off a broader crisis
in the 16-nation bloc that shares the euro. []
The euro rose against the dollar, helping increase risk
appetite among investors and supporting commodities and energy
prices. []
In other supportive news, the International Energy Agency
said on Thursday global oil demand would grow by 120,000 barrels
per day (bpd) more than previously expected in 2010 to average
86.5 million bpd. []
The forecast was in line with the latest projections from
the U.S. Energy Information Administration, which on Wednesday
predicted world oil demand would rise 1.2 million bpd in 2010.
[]
The EIA expects oil prices to average $81 a barrel in the
second half of the year, up 9 percent from current levels.
U.S. crude for March delivery <CLc1> was up 30 cents to
$74.82 a barrel by 1343 GMT, after settling 77 cents higher at
$74.52 a barrel on Wednesday. London Brent crude <LCOc1> rose 45
cents to $72.99.
The Greek bailout helped ease worries over the fiscal health
of the euro zone, increasing demand for riskier assets such as
commodities and oil, analysts said.
"The EU deal over Greece has helped commodities prices pick
up," said Carsten Fritsch, analyst at Commerzbank in Frankfurt.
"Prices were already rising ahead of the announcement because a
deal was so widely expected. In the short-term we should see a
rally as the chance of default has diminished."
BLIZZARD
European shares rose on Thursday for the fourth consecutive
session, with banks the major gainers. []
Oil prices got a boost from signs of higher heating fuel
demand as a second blizzard in a week buried the U.S. Northeast,
breaking a century-old snowfall record in the nation's capital
and leaving thousands without power. []
U.S. heating demand this week is seen 11.5 percent above
normal, weather services said. []
Traders will scour U.S. weekly inventory data from the EIA
due on Friday for further clues on the rate of demand recovery
in the world's largest oil user.
The EIA's weekly data, normally released on Wednesdays at
10:30 a.m. EST, will be delayed until Friday due to the snow
blanketing the U.S. capital.
A report from the American Petroleum Institute (API) on
Tuesday showed crude inventories jumped by 7.2 million barrels
to 337.6 million last week, against expectations of a rise of
1.5 million, and despite a drop in crude imports and weekly
crude runs. []
Gasoline inventories also rose more than expected, climbing
1.6 million barrels to 228.8 million, exceeding analyst
estimates of a 500,000-barrel build. []
(Additional reporting by Jennifer Tan in Singapore; editing by
Sue Thomas)
