Oil halted a two-day slide in London on forecasts that service industries accelerated last month in the U.S., the world’s biggest consumer of crude. Brent futures recouped an earlier loss of 0.6 percent. The Institute for Supply Management’s index of non-manufacturing companies rose to 57.5 from 57.3 in March, according to a Bloomberg News survey of economists before today’s data. Another report may show companies added 198,000 workers to payrolls last month. Crude stockpiles probably increased from the highest since November, according to a Bloomberg News survey before an Energy Department report. “Economic data today will probably signal increased U.S. economic growth,” said Thorbjoern Bak Jensen, an analyst at Global Risk Management in Middelfart, Denmark. “We still believe in a $122 to $127 trading range.” Brent for June settlement on the London-based ICE Futures Europe exchange advanced as much as 51 cents to $122.96 a barrel. It traded for $122.62 as of 10:30 a.m. local time. Yesterday, the contract lost $2.67, or 2.1 percent, to $122.45, the biggest drop since April 12. On the New York Mercantile Exchange, crude for June delivery fell as much as 82 cents to $110.23 a barrel in electronic trading. The contract was at $110.92 at 10:30 a.m. London time. Yesterday, it decreased $2.47, or 2.2 percent, to $111.05, the biggest drop since April 18. Prices have advanced 34 percent in the past year. Brent’s premium over the U.S. benchmark, West Texas Intermediate, increased for the first time in five days to $11.70 a barrel. U.S. Employment U.S. employment increased by 198,000 workers in April, after a 201,000 gain in March, according to a Bloomberg News survey of economists before a report from ADP Employer Services due at 8:15 a.m. New York time today. Labor Department data on May 6 may show payrolls rose by 185,000 workers last month after 216,000 a month earlier, a separate poll showed. The Tempe, Arizona-based ISM’s report is due at 10 a.m. New York time. U.S. crude inventories rose 2 million barrels in the week to April 29 from 363.1 million, according to the median estimate from 15 analysts surveyed by Bloomberg News. Gasoline stockpiles are expected to have slipped 500,000 barrels from 205.6 million, which would be an 11th weekly decline. Yesterday, the industry-funded American Petroleum Institute said crude stockpiles rose 3.2 million barrels and gasoline supplies climbed 680,000 barrels. The Energy Department will release its Weekly Petroleum Status Report at 10:30 a.m. in Washington. Open interest in New York futures yesterday reached a record for a second session. There were 1.63 million outstanding contracts of light, sweet crude, surpassing a high of 1.608 million set on April 29, said Chris Grams, a spokesman for the exchange. The previous record was 1.606 million on March 11. To contact the reporter on this story: Grant Smith in London at gsmith52@bloomberg.net To contact the editor responsible for this story: Stephen Voss on sev@bloomberg.net

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