NYMEX-Crude ends up on recovery hope, dollar slip

NEW YORK, Dec 24 (Reuters) - U.S. crude oil futures rose on
Thursday, ending above $78 a barrel on optimism about economic
recovery that pushed equities higher, a weaker dollar and
momentum from the previous day's rise after inventory reports
showed oil stockpiles fell last week.

U.S. stocks rallied after data showing a drop in initial
jobless claims and growth in durable goods orders suggested an
economic recovery was picking up steam. [.N]

"No doubt there was continued bullish momentum after
yesterday's inventory data. Bullish technical action, although
there was light trading volume. Equities strength and a weaker
dollar helped to support also," said Tom Bentz, analyst at BNP
Paribas Commodity Futures Inc in New York.

The dollar fell against the euro, extending losses a day
after a weak U.S. housing report, as investors sought to lock
in gains on the greenback's recent rally.

Trading in most markets was thin ahead of Friday's
Christmas holiday.

Oil futures posted strong gains on Wednesday after the U.S.
Energy Information Administration's weekly inventory report
showed crude oil stockpiles fell sharply. [EIA/S]

Gasoline and distillate stocks also fell last week, the EIA
said.

PRICES

* On the New York Mercantile Exchange, February crude
CLG0 rose $1.38, or 1.8 percent, to settle at $78.05 a
barrel, trading from $76.19 to $78.25.

* In London, February Brent crude LCOG0 rose 86 cents to
settle at $76.31 a barrel, trading from $74.71 to $76.50.

* NYMEX January RBOB RBF0 rose 2.30 cents, or 1.17
percent, to settle at $1.9896 a gallon, trading from $1.9459 to
$1.9940.

* NYMEX January heating oil HOF0 rose 2.38 cents, or 1.18
percent, to settle at $2.0356 a gallon, trading $1.9980 to
$2.0405.

* January refined products contracts expire on Dec. 31.

* The February/February RBOB crack spread <0#RB-CL=R> ended
at $6.40 after ending at $6.78 on Wednesday. The
February/February heating oil crack spread <0#CL-HO=R> ended at
$8.31 after ending at $8.71 on Wednesday.

* The spread between the current front month and the
five-year forward crude contract CLc61 ended at $14, based on
the February 2015 contract Thursday settlement at $92.05. The
spread ended Wednesday at $14.60.

MARKET NEWS

* New U.S. durable goods orders rose less than expected in
November, held back by a drop in civilian aircraft orders, but
surged after excluding transportation. [ID:nN24182625]

* New applications for jobless benefits fell last week to
the lowest level in more than 15 months. [ID:nN23158877]

* India's refiners processed 4.9 percent more crude oil in
November than a year ago. [ID:nSGE5BN08Q]

* Fire in a pump shut a crude unit early Thursday at Valero
Energy Corp's (VLO.N) 243,000 barrel-per-day Texas City, Texas,
refinery. [ID:nN24271407]

* Iranian security forces clashed with supporters of Grand
Ayatollah Hossein Ali Montazeri in the northwestern city of
Zanjan on Thursday, a reformist website said. [ID:nDAH467573]

* Mexican oil production fell in November after two months
of rising output. [ID:nN24190916]
(Reporting by Robert Gibbons; Editing by Christian Wiessner)