By Polya Lesova, MarketWatch NEW YORK (MarketWatch) -- Oil futures surged above $64 a barrel on Monday, as dollar weakness and rising global equity markets buoyed demand for crude. Light sweet crude for August delivery rose 99 cents, or 1.6%, to $64.55 a barrel in electronic trading on Globex. The contract will expire on Tuesday. September oil futures gained 98 cents, or 1.5%, to $65.54 a barrel on Globex. Oil prices rose "after the dollar weakened to a six-week low against the euro and amid renewed risk appetite following last week's corporate results and economic data," said Nimit Khamar, analyst at Sucden Financial Research. In the currency markets, the U.S. dollar fell sharply against the euro and the British pound. The dollar index (DXY 78.89, -0.48, -0.61%) , which tracks the greenback against a trade-weighted basket of six major currencies, was at 78.910, down from 79.475 in North American trade late Friday. See Currencies. Dollar weakness boosts dollar-denominated commodities because it makes them cheaper for holders of other currencies. On Wall Street, U.S. stock futures advanced Monday after the lender CIT Group (CIT 1.29, +0.59, +84.29%) was reported to have received a private-sector bailout, removing one threat to the recovery at the onset of a heavy week for earnings. Equity markets in Asia and Europe were broadly higher. August crude futures ended up 2.5% Friday on the New York Mercantile Exchange, gaining for a third session and extending its weekly advance to more than 6%. See full story. "We expect to see some consolidation above the $60 mark in the coming days as there are no important data releases due that could provide an additional impulse to the oil market," Credit Suisse analysts wrote in a report. Also on Globex, August reformulated gasoline rose 2 cents to $1.79 a gallon and August heating oil gained 3 cents to $1.67 a gallon. August natural gas futures were flat at $3.67 per million British thermal units.

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