(Repeats to additional subscribers)
* Crude hits 18-mth high after US payrolls lift
* Analysts see prices rising through to year-end
* Trade thin, many Asian and European markets shut
(Updates prices)
SINGAPORE, April 5 (Reuters) - U.S. crude futures jumped 1
percent towards $86 a barrel on Monday, to their highest since
October 2008, after data showed U.S. employers created jobs in
March at the fastest rate in three years.
U.S. nonfarm payrolls rose 162,000, the Labor Department
said on Friday, only the third increase since the economy sunk
into recession in late 2007 and the largest since March 2007.
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The strong payrolls reading, coupled with positive
manufacturing data and signs of rising demand for distillates,
is likely to support prices and cement crude in a new, higher
range, analysts said.
"There has been a very strong start to the quarter. Prices hit
a new 18-month-high today in a continuation of the trend seen
since the start of the month," Barclays Capital analyst Yingsi
Yu said.
"Last quarter we had an average forecast of $78 a barrel,
quite close the actual number. We are looking for $86 for West
Texas Intermediate in the second quarter, rising to $92 in the
fourth."
NYMEX crude for May delivery <CLc1> rose 89 cents to $85.76
a barrel by 0550 GMT, after trade was closed for a three-day
weekend including the Good Friday holiday.
Prices earlier touched $85.89, their highest since October
2008. Crude has risen more than 2 percent in the first five
days of the quarter, versus a rise of 5.5 percent through the
whole of the first three months of the year.
Brent crude <LCOc1> rose 77 cents to $84.78.
Last Thursday, crude oil settled at $84.87 after upbeat
U.S. economic data signaled better oil demand ahead, prompting
fund buying as the new quarter began. []
In industry news, U.S. Tesoro Corp said on Sunday crude oil
intake at its Anacortes, Washington, refinery was down to about
70 percent of its 120,000 barrel per day (bpd) capacity after a
deadly explosion and fire on Friday. []
Yu noted that signs of a revival in the airline industry
and stronger demand for distillates were positive for the
market.
"We are seeing improving demand for distillates, the part
of the barrel that hasn't really risen much so far. We are also
seeing rising air traffic - good for jet fuel demand and
diesel.
"U.S. durable goods orders have also increased strongly and
all of this bodes well for distillate demand for the months to
come and signs of rising demand will be a strong vote of
confidence for the market."
Sustained gas oil cracks of around $10 a barrel have
triggered a surge in demand for crudes with high yields of gas
oil and diesel in the Asia-Pacific market as demand led by
Chinese buyers absorbed May-loading supplies. []
(Reporting by Nick Trevethan; Additional reporting by James
Topham in Tokyo; Editing by Ed Lane)
