LONDON, Jan 25: The price of oil jumped back above $90 on Friday, helped by a recovery in global stock markets on the back of plans for a stimulus package to prevent the US economy falling into recession, traders said.

New York’s main contract, light sweet crude for delivery in March, rose $1.54 to $90.95 per barrel.

Brent North Sea crude for March gained $1.76 to $90.83.

“Crude futures were firmer, extending last night’s rally,” said Sucden analyst Andrey Kryuchenkov.

“Oil prices are continuing to follow gains on the broader market and especially on equity markets,” he added.

“The commodities market will continue to look for signs of health in the US economy from equities and that will affect prices,” said Tony Nunan from Mitsubishi Corp.

Despite recent gains, oil prices are still well off their early January historic highs of $100.09 for New York’s light sweet crude and $98.50 for Brent.

“Oil will get support from stocks if they stay strong but may also get some support from China’s GDP,” said Phil Flynn at Alaron Trading.

China’s economy grew 11.4 percent in 2007, reaching the highest level in 13 years and marking the fifth straight year of double-digit growth, the Chinese government said on Thursday. China demands vast amounts of oil to help power its economy, being second only to the United States as a consumer. —AFP