(1888PressRelease)
May 23, 2009 - Oil prices stayed above $61 a barrel Friday in Asia as traders brushed off a pessimistic U.S. central bank economic forecast to keep crude near six-month highs.
Benchmark crude for July delivery was up 50 cents to $61.55 a barrel midday in Singapore in electronic trading on the New York Mercantile Exchange. On Thursday, the contract fell 99 cents to settle at $61.05.
The Federal Reserve sees significant downside risks for the U.S. economy, with the global financial system still "vulnerable to further shocks," according to minutes of a Fed meeting released this week.
The comments helped push stocks down, with the Dow Jones industrial average falling 1.5 percent Thursday.
Oil prices have jumped about 75 percent since March on expectations the worst of a severe recession is over.
"We're going to see a recovery but it looks like its going to be very muddled," said Stephen Yang, an Analyst with Seedorf Luxman & Partners in Singapore. "If stocks keep falling, oil will eventually follow," the Seedorf Luxman & Partners Analyst said.
Crude prices have been buoyed this week by two refinery fires in the U.S. and renewed fighting between the government and rebels in oil-rich Nigeria.
In other Nymex trading, gasoline for June delivery rose 2.19 cents to $1.82 a gallon and heating oil gained 1.06 cents to $1.54 a gallon. Natural gas for June delivery slid 1.5 cents to $3.59 per 1,000 cubic feet.
In London, Brent prices rose 67 cents to $60.60 a barrel on the ICE Futures exchange.
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