Crude gains on confidence, comments

Crude oil prices were higher Tuesday after US consumer confidence was reported higher in May and on comments from Saudi Arabia’s oil minister concerning demand.

In the United States, the Conference Board’s Consumer Confidence Index was reported at 54.9 in May, higher than its April reading of 40.8 and much higher than the 42.3 level that was expected for May.

Meanwhile, the Saudi oil minister said that demand is beginning to climb and that the Organization of Petroleum Exporting Countries is likely to hold production quotas and current levels when it meets on Thursday in Vienna.

Gains in equities markets in New York during the day and another pipeline bombing by rebels in Nigeria on Sunday both also helped push prices higher.

At just before the close of floor trade, West Texas Intermediate Crude for July delivery was 77 cents higher to $62.44 per barrel on the New York Mercantile Exchange while Brent crude had added 49 cents, at last report, to $60.70 per barrel on the ICE Futures Europe exchange in London.

The retail price of gasoline in the United States was up a fraction of a cent overnight to $2.425 per gallon, according to AAA.