Crude-oil futures rose slightly on Friday, as hopes that the worst of the global recession might be over continued to lift prospects for oil demand.
Crude for June delivery was last up 28 cents, or 0.6%, to stand at $51.40 a barrel on the New York Mercantile Exchange. Trading was expected to remain subdued as many markets in Asia and Europe were closed for the May Day holiday.
For the week, oil has gained more than 3%, including a Thursday advance on the back of a drop in U.S. jobless claims and data showing improved manufacturing conditions in the Chicago region.
Early Friday, "a pair of manufacturing PMIs in the China and the U.K. came in better than expected in April, adding to the pile of less bad economic data," said Robert Kavic, analyst at BMO Capital Markets, in a note to clients.
"Aggressive stimulus in China appears to be working," he wrote. "This has even been evident in U.S. earnings reports, with the likes of Caterpillar saying that sales of certain products have rebounded to record levels in China."
On Friday, investors will turn to a national manufacturing survey and consumer sentiment for April, along with factory orders for March.
Also providing support, Iraqi oil minister Hussain al-Sharistani overnight said that world markets seemed to be coming into balance, but he "did not rule out further cuts by OPEC at its next meeting," according to Sucden Financial.
