NYMEX-Crude up for 3rd day to above $71 after data

                                
 TOKYO, Oct 7 (Reuters) - U.S. crude futures rose for a third
day to above $71 a barrel on Wednesday after industry data showed
a surprising, if small, drawdown in U.S. crude inventories last
week.
                                
 FUNDAMENTALS
                                
 * NYMEX crude for November delivery <CLc1> was up 54 cents at
$71.42 a barrel by 2355 GMT, after settling up 47 cents at $70.88
on Tuesday.
                                
 * Tuesday's gains came as investors bought commodities to
hedge against a weaker dollar and the U.S. government forecast an
increase in world oil demand.
                                
 The U.S. Energy Information Administration raised its global
oil demand estimate by 170,000 barrels a day for the fourth
quarter and said it expected consumption to rise by 1.1 million
bpd next year, versus earlier expectations of a 910,00 bpd rise.
[ID:nN06418021]
                                
 * After Tuesday's settlement, the American Petroleum
Institute said that crude stocks fell 254,00 barrels in the week
to Oct. 2, against the forecast for a 2.2-million-barrel increase
in a Reuters poll of analysts. [EIA/S]
                                
 Distillate stocks fell 2.9 million barrels, defying
expectations for a 300,000-barrel build, and gasoline stocks rose
544,000 barrels, against the forecast for a 1.0-million-barrel
increase.
                                
 * U.S. retail gasoline demand last week jumped 7 percent from
the same period last year and rose 0.6 percent from the previous
week, according to a MasterCard SpendingPulse report released on
Tuesday. [ID:nNYS005478]
                                
 * Further support came as the U.S. dollar dropped after
Australia's Central Bank unexpectedly raised interest rates, a
move investors took as a signal world economies may recover soon,
potentially boosting fuel demand. <.DXY>
                                
 MARKETS NEWS
                                
 * U.S. stocks rose on Tuesday amid signs the global economy
was recovering and optimism that corporate earnings reports will
beat expectations. [.N]
                                
 * The U.S. dollar slid broadly on Tuesday after an interest
rate hike in Australia underscored concerns the Federal Reserve
will lag other central banks in pulling out of its loose monetary
policy. [USD/]
                                
 * U.S. retailers probably saw sales decline again in
September, signaling weak demand leading into the holiday season
that will require chains to sharpen their focus on value.
[nN06412965]
                                
 Many U.S. retail chains report September sales data on
Wednesday and Thursday.
                                
 DATA/EVENTS
                                
 * The following data is expected on Wednesday:
                                
 - 0500 GMT--Japan Leading Indicator/Aug
                                
 - 0900 GMT--Euro Zone GDP Revised/Q2
                                
 - 1000 GMT--Germany Industrial Orders/Aug
                                
 - 1100 GMT--U.S. Mortgage Index/Weekly
                                
 - 1430 GMT--U.S. EIA Weekly Oil Data/Weekly
                                
 - 1900 GMT--U.S. Consumer Credit/Aug
                                
 RELATED NEWS
> Sunoco to idle Eagle Point refinery to cut losses [nN06440962]
> Exxon says torrance, Calif. refinery ops normal   [nN06520716]
                                
 PRICES
 Oil prices as of 2355 GMT          
 Contract Mnth    Price  Change  Day ago     pct     MA-20*
 NYMEX Contracts
 US Crude NOV9   $71.42   +0.54   +$0.47  +0.67%     $69.89
 Heat Oil NOV9   183.03   +1.61    +2.26  +1.26%     177.15
 RBOB     NOV9   178.80   +1.53    +1.88  +1.07%     174.84
 Natgas   NOV9   $4.890  +0.010  -$0.107  -2.15%     $3.907
 ICE Contracts
 Brent    NOV9       --   +0.00   +$0.52  +0.76%     $68.39
 Gasoil   OCT9       --   +0.00  +$24.25  +4.46%    $558.04
 Note: U.S. heating oil and RBOB gasoline contracts listed in
cents per gallon.
 * = 20-day moving average for continuation month.
 (Reporting by Osamu Tsukimori; Editing by Joseph Radford)