By Grant Smith and Nesa Subrahmaniyan Nov. 21 (Bloomberg) -- Oil rose for the first time in six days on speculation governments will step up efforts to revive economic growth and OPEC members cut production. OPEC members will likely cut supplies by 3.8 percent this month to 30.98 million barrels a day following a decision in October to lower production, according to consultant PetroLogistics Ltd. The Bank of Japan said it will consider pumping more money into the financial system, while the European Commission will announce a fiscal-stimulus plan next week, President Jose Barroso said yesterday. “If the market believes these packages are working then they can put a floor under prices,” said Andy Sommer, an analyst with HSH Nordbank in Hamburg. “Many analysts think these prices are not justified by fundamentals and are saying now is the time to buy.” Crude oil for January delivery rose as much as $1.23, or 2.5 percent, to $50.65 a barrel on the New York Mercantile Exchange. It was at $50.32 at 1:12 p.m. in London. The contract earlier fell as much as $1.17, or 2.4 percent, to $48.25 a barrel, the lowest since May 23, 2005. Futures have dropped 67 percent since reaching a record $147.27 a barrel on July 11. The MSCI World Index of equities added 0.8 percent to 777.51 at 12:30 p.m. in London, trimming this week’s decline to 11 percent. Opec Trims Thirteen members of the Organization of Petroleum Exporting Countries, due meet in Cairo eight days from now, are set to supply 30.98 million barrels a day this month, compared with 32.2 million a day in October, PetroLogistics founder Conrad Gerber said today by telephone from Geneva. The reduction was led by Saudi Arabia, which trimmed supplies to 8.95 million barrels a day in November from 9.49 million a day in the previous month, Petrologistics data showed. The 11 OPEC states subject to output quotas are still producing in excess of their official limits, Gerber said. OPEC members meet in Cairo in eight day’s time. Bank of Japan Governor Masaaki Shirakawa has instructed his staff to study new ways of making money available for lending, such as accepting corporate debt as collateral, the central bank said in a statement in Tokyo today. German officials have put the size of the European economic stimulus package at 130 billion euros ($162.5 billion), a figure that European Commission President Barroso refused to confirm yesterday. Brent crude oil for January settlement rose as much as $1.62, or 3.4 percent, to $49.70 a barrel on London’s ICE Futures Europe exchange. To contact the reporters on this story: Grant Smith in London at gsmith52@bloomberg.net.

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