LONDON (SHARECAST) - US crude oil futures rallied on Monday, ending three sessions of declines, supported by a weaker dollar and data showing an increase in consumer spending.
Light crude oil for May delivery rose $2.17 to settle at $82.17 a barrel on the New York Mercantile Exchange.
The bounce was underpinned by a decline in the dollar against the euro after Greece sold €5bn in seven year bonds.
Gains on Wall Street also lifted risk appetite as the Treasury Department announced it is getting closer to a sale of its 27% stake in Citigroup.
Meanwhile economic data showed individual spending rose 0.3%, or $34.7bn in February, in line with expectations. US personal income rose $1.2bn, or less than 0.1%, during the same month, after a 0.3% rise in January. The figures boosted hopes the economic recovery is on the right track.
Analysts said demand for commodities was also lifted by the upcoming holiday weekend.
The weaker dollar also supported gold prices on Monday. Gold for May delivery rose $6.10 to $1,111.50 per ounce by the close of trading.
A report from the World Gold Council also whipped up demand for the yellow metal. Chinese demand for gold could double in the next decade.
Silver for May delivery rose by 48 cents to settle at $17.38 an ounce.
