Oil rose for a second day in London after German and French leaders said they’re certain Greece will remain in the euro zone, tempering concern that the region’s debt crisis will damage fuel consumption. Brent futures gained as the dollar weakened against the euro, bolstering the appeal of using commodities to protect against inflation. Goldman Sachs Group Inc. affirmed its forecast that the commodity will rally to $130 a barrel next year. Crude slipped in New York after the Energy Department said yesterday gasoline supplies rose the most since June while fuel use slumped by 3.8 percent. “Oil is supported, like the equity markets, by everybody’s hope that the crisis could ease,” said Gerrit Zambo, trader at Bayerische Landesbank in Munich, who predicts Brent will drop toward $100 a barrel. “If you look at the big picture of macroeconomic data, there can only be one direction for oil in the medium term, and that’s to the downside.” Brent oil for October settlement on the London-based ICE Futures Europe exchange advanced as much as 65 cents, or 0.6 percent, to $113.05 a barrel. It was at $112.92 a barrel at 9:50 a.m. London time. The contract expires today. The more active November future was up 46 cents at $110.11. Crude for October delivery fell as much as 90 cents to $88.01 a barrel in electronic trading on the New York Mercantile Exchange and was at $88.32 at 9:51 a.m. London time. Brent was at a premium of $24.60 to U.S. prices, compared with $23.72 at yesterday’s settlement and a record close of $26.87 on Sept. 6. 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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