Crude oil rose as European stocks and U.S. equity futures gained, signaling that some investors expect economies to stabilize, boosting demand for energy. Oil rose as much as 6 percent after stock futures increased on better-than-estimated earnings at Wells Fargo & Co. and speculation banks will pass government stress tests. Prices were also higher because a government report showed a smaller gain in U.S. supplies than the industry indicated a day earlier. “When equities bounce, you see oil, industrial metals and grains lift as well,” said Bill O’Grady, chief markets strategist at Confluence Investment Management in St. Louis. “The commodity markets are awaiting the return of global growth, and the stock market is an early signal that the economy is recovering.” Crude oil for May delivery rose $2.36, or 4.8 percent, to $51.74 a barrel on the New York Mercantile Exchange. Prices are up 16 percent this year. Futures on the Standard & Poor’s 500 Index expiring in June added 2.1 percent to 840. Dow Jones Industrial Average futures rose 1.7 percent to 7,923. “Oil prices are likely to hover around $50 a barrel for now,” said Eugen Weinberg, an analyst at Commerzbank AG in Frankfurt. “The proximity of this psychologically important level, rising equity markets and a smaller-than-feared increase in U.S. oil inventories have given the price a boost.” U.S. crude oil supplies increased 1.65 million barrels to 361.1 million last week, the highest since July 1993, the Energy Department said yesterday. The industry-funded American Petroleum Institute said April 7 stockpiles jumped by 6.94 million barrels to the highest since 1990.

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