March 20, 2007	Tuesday	Safar 30, 1428

LONDON, March 19: World oil prices rebounded on Monday, reaching almost $61 a barrel in London trade, as stock markets firmed and a closely-watched report forecast a jump in crude futures in coming months.

Earlier on Monday, they had extended losses as market attention switched to worries about possible weaker demand for crude in the United States following last week’s production meeting of Opec, analysts said.But in its monthly report, the Centre for Global Energy Studies said prices were set to jump over the coming months after the Organisation of Petroleum Exporting Countries decided against an increase to its crude output at a ministerial meeting last Thursday.

In London on Monday, the price of Brent North Sea crude for May delivery climbed 67 cents to $60.97 per barrel in electronic trading.

New York’s main oil futures contract, light sweet crude for delivery in April, gained 33 cents to $57.44 per barrel in pit deals.

Crude futures won a lift from rebounding stock markets. Wall Street shares rocketed higher Monday as investors cheered several new merger and acquisition deals, traders said.

Sucden analyst Michael Davies said prices had fallen earlier on Monday “amid concerns that troubles in the US housing sector could spread into the broader domestic economy and dent demand for energy.”

Looking ahead, he added that oil prices could draw support from strong demand for gasoline (petrol) ahead of the summer driving season in the United States.—AFP