RTTNews - Crude oil edged higher on Monday amid hopes a global economic recovery will boost energy demand. Oil hit a 10-month intraday high before easing.
Light sweet crude for October closed at $74.37 per barrel, up 48 cents on the session. Oil hit as high as $74.81 earlier but fell as the dollar rebounded against other majors.
The dollar rose off of a 2 1/2-week low against the euro on a choppy day of trading. The greenback also saw mild strength against the sterling. Commodities often move in the opposite direction of the dollar.
On Friday, crude for October delivery ended its first day as the front-month contract up $0.98 at $73.89 a barrel. Oil added more than 6% last week, leaving some traders expecting a run to $80 in the near future.
Energy traders also looked ahead to Wednesday's Energy Department report. Last week's data showed U.S. commercial crude oil inventories decreased by 8.4 million barrels from the previous week. Gasoline inventories decreased by 2.1 million barrels last week.
There was no major economic data on the calendar for today. On Tuesday, the S&P/Case-Shiller Home Price Index is due at 9 a.m. ET. A drop of 16.4% is projected for the month of June, compared to a decline of 17.06% in May.
At 10 a.m. ET Tuesday, the Conference Board will reveal its consumer confidence data. A reading of 48.0 is expected for August, compared to 46.6 in July.
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