RTTNews - Crude oil turned into positive territory on Tuesday amid higher hopes for energy demand following the consumer confidence report. The rise added to sharp gains from last week.
Light sweet crude oil for July delivery climbed to $62.37, up 70 cents on the session. Oil touched as high as $62.50 in intraday trading.
A Conference Board report showed that the consumer confidence index rose to 54.9 in May from an upwardly revised 40.8 in April. Economists had expected the index to edge up to 42.6.
Oil prices dropped as low as $59.53 amid predictions the Organization of Petroleum Exporting Countries won't cut production at its meeting Thursday in Vienna, Austria.
After sharp cuts late last year to combat falling prices, the cartel is generally expected to leave quotas as is. Oil has lost nearly 60% from the record $147.27 reached last July 11.
Also on Thursday, the Energy Information Administration data will be released at 11 a.m. ET. The report will be delayed a day because of the Memorial Day break on Monday.
Oil's hedge appeal was also boosted as the U.S. dollar gave back overnight gains versus other majors. The greenback hit a fresh six-month high against the pound and remained near its lowest mark in nearly five months versus the euro.
Gasoline prices averaged $2.425 per regular unleaded gallon, according to AAA's daily fuel gauge. This is higher than the month-ago mark of $2.052 but well-below the $3.936 from a year ago.
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