* U.S. stock markets surge 3 percent
* Dollar slumps against major currencies
NEW YORK, July 15 (Reuters) - U.S. crude oil futures
settled more than 3 percent higher on Wednesday as a government
inventory report showing crude supplies fell last week, the
dollar's weakness and strong equities combined to lift oil.
"The DOE crude and distillate data were more supportive
than API. Gasoline was the only one that put a temporary damper
on prices," said Tom Bentz, analyst at BNP Paribas Commodities
Futures Inc.
The U.S. Energy Information Administration's report on
Wednesday showed crude stocks fell 2.8 million barrels in the
week to July 10. Distillate supplies rose only 600,000 barrels,
while gasoline supplies rose 1.5 million barrels. [EIA/S]
Refinery utilization rose 1.1 percentage point, the EIA
said, against a forecast for capacity use to slip.
Reuters' analysts survey had predicted a crude supply drop
of 1.6 million barrels, with gasoline stocks seen up 1.0
million barrels and distillate stocks up 1.9 million barrels.
Tuesday's American Petroleum Institute inventory report
showed crude oil supplies fell 1.2 million barrels last week.
Gasoline stocks dipped only 69,000 barrels. Distillate supplies
rose 625,000 barrels. [ID:nN14605500]
PRICES
* On the New York Mercantile Exchange, August crude CLQ9
rose $2.02, or 3.39 percent, to settle at $61.54 a barrel,
trading from $59.65 to $62. The $62 high was reached in Globex
trading after the day's settlement was reached.
* NYMEX August crude oil options expire on Thursday.
* In London, August Brent crude LCOQ9 rose $2.23 to
settle at $63.09 a barrel, trading from $61.33 to $63.83. The
August Brent contract expires on Thursday.
* NYMEX August RBOB RBQ9 rose 6.15 cents, or 3.73 percent
to settle at $1.7081 a gallon, trading from $1.6525 to
$1.7177.
* NYMEX August heating oil HOQ9 rose 7.02 cents, or 4.64
percent, to settle at $1.5821 a gallon, trading from $1.5165 to
$1.5916.
* The August/August RBOB crack spread <0#RB-CL=R> ended at
$10.20, after ending at $9.64 on Tuesday. The August/August
heating oil crack spread <0#CL-HO=R> ended at $4.91, after
ending at $3.98 on Tuesday.
* The spread between the current front month and the
five-year forward crude contract CLc61 ended at $19.08, based
on the August 2014 contract Wednesday settlement at $80.62. The
spread ended Tuesday at $19.11.
TECHNICALS
NYMEX crude 10-day/20-day moving average: $62.31/$66.04
Technical support/resistance:
NYMEX crude: $58.32/$62.00
NYMEX heating oil: $1.5030/$1.5520
NYMEX RBOB: $1.6010/$1.68
For a report on technicals, click on [ID:nLF174390]
MARKET NEWS
* The U.S. dollar fell to a one-month low against major
currencies on boosted confidence about corporate earnings and
the outlook for the economy. [USD/]
* U.S. stocks rose sharply on strong results at Intel Corp
(INTC.O) and the New York Fed's Empire State index for July
showing business conditions in the state are at their strongest
since April 2008. [.N]
* OPEC could cut output at its September meeting, if oil
falls below $50 to $55 a barrel, a member of Kuwait's Supreme
Petroleum Council said. [ID:nLF271261]
* Nigeria's most prominent militant group said it would
observe a 60-day cease-fire from Wednesday. [ID:nLF20151]
* For a list of recent refinery and unit shutdowns and
restarts, click [REF/US].
(Reporting by Robert Gibbons; Editing by Lisa Shumaker)
