NEW YORK, Nov 10 (Reuters) - U.S. crude oil futures prices rose to a 25-month high on Wednesday, pushing above $88 a barrel intraday, as government data showed crude oil inventories fell sharply last week, against expectations stocks would rise. U.S. Energy Information Administration data showed that domestic crude inventories fell 3.3 million barrels last week, against a forecast for a 1.4 million barrel increase. [EIA/] Distillate stockpiles fell 5.0 million barrels, far more than the expected draw down of 1.9 million barrels. Demand for distillates on a four week average shot up 16 percent versus the year-ago period. That helped push U.S. December heating oil HOZ0 to a session high of $2.4535 a gallon, the highest since Oct. 9, 2008. Gasoline stocks fell 1.9 million barrels, much more than the expected drop of 800,000 barrel drop. Oil prices jumped despite the dollar's strength. FUNDAMENTALS * On the New York Mercantile Exchange, December crude CLZ0 rose $1.09, or 1.26 percent, to settle at $87.81 a barrel, the highest since front-month crude closed at $88.95 on Oct. 8, 2008. Wednesday's trading range was from $86.10 to $88.21, posting the intraday high in post-settlement trading. * China's October crude oil imports fell 15 percent from a year ago to their lowest in 19 months, as refiners drew on stocks after record purchases in September. [ID:nLDE6A90G3] * U.S. initial jobless benefit claims hit a four-month low last week and the trade gap narrowed more than expected in September. [ID:nN10164638] MARKETS NEWS * The U.S. dollar hit a one-month high against the euro and yen, as rising U.S. bond yields prompted traders to cut bets against the greenback but some gains were lost late in the day. Worries about Ireland's high debt burden kept the euro weak against the dollar for a fourth straight day though the euro was well off the session low in volatile trading after a U.S. Treasury bond auction attracted mediocre demand. [USD/] * Wall Street rose as investors put the previous day's uncertainty aside and snapped up some of the week's biggest losers in renewed optimism the rally remains intact. [ID:nN10211687] * Base metals eased on weak Chinese imports and higher reserve requirements there, with copper trailing from near record highs, but investor appetite for hard assets cushioned prices. [MET/L] UPCOMING DATA/EVENTS * Commodities Futures Trading Commission positions data report on Friday at 3:30 p.m. EST (2030 GMT). SETTLE NET PCT LOW HIGH CURRENT DAY AGO CHNG CHNG VOL VOL CLc1 87.81 1.09 1.3% 86.10 88.21 436,279 367,995 CLc2 88.29 0.94 1.1% 86.70 88.67 177,809 142,691 LCOc1 88.96 0.63 0.7% 87.73 89.32 175,309 200,878 RBc1 2.2362 0.0512 2.3% 2.1754 2.2465 64,662 58,496 RBc2 2.2179 0.0314 1.4% 2.1751 2.2269 58,000 42,254 HOc1 2.4419 0.0352 1.5% 2.3999 2.4535 58,222 55,878 HOc2 2.4580 0.0317 1.3% 2.4177 2.4683 39,698 37,978 TOTAL MARKET VOLUME OPEN INTEREST CURRENT Nov 09 30D AVG Nov 09 NET CHNG CRUDE 832,868 685,832 681,663 1,486,195 6,471 RBOB 181,060 141,432 118,698 279,935 2,099 HO 147,166 #N/A 103,143 326,773 2,315 (Reporting by Robert Gibbons; Editing by Marguerita Choy)

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