LONDON (SHARECAST) - Crude oil futures rose on Wednesday as US stocks staged an impressive rally following a better than expected report on home sales.
Crude oil for July delivery added 28 cents to settle at $72.86 a barrel on the New York Mercantile Exchange.
The pending home sales index rose 6% in April compared with expectations of 4.3%. The March figure was revised from 5.3% to 7.1%.
A bounce in May US car sales also buoyed optimism about future demand for oil.
Otherwise traders will be looking ahead to Friday’s jobs report to provide another snapshot of the US economy. Data from the US Energy Information Administration is due on Thursday a day later than usual after stock markets were closed for Monday’s Memorial Day holiday.
Gold took a breather on Wednesday with profit takers moving in on the precious metal’s recent highs.
Gains on Wall Street, a strong housing report and a stronger dollar also curbed appetite for the yellow metal which traded between $1215.00 and $1228.90.
Comex gold for August delivery settled $4.30 lower at $1222.60 an ounce in New York.
