NYMEX-Crude ends up on products rally, geopolitics

* NYMEX gasoline and heating oil rally, lifts crude

* WikiLeaks’ move ups geopolitical risk premium for oil

* Korean peninsula tensions keep oil investors jittery

* Coming up: API weekly oil data, 4:30 p.m. EST Tuesday

NEW YORK, Nov 29 (BestGrowthStock) – U.S. crude oil futures
rebounded more than 2 percent on Monday, fueled by a rally in
gasoline and heating oil futures and geopolitical risks.

U.S. gasoline futures (RBc1: ) climbed to the highest level
since May 5 — a near seven-month high — on the
spot-continuation chart.

The shut arbitrage window between Europe and the United
States and relatively low stock levels, particularly in the New
York Harbor, helped lift gasoline futures, the day’s price
leader. [ID:nN29196483]

Colder temperatures in the U.S. Northeast, the biggest
market for winter heating fuel, backed heating oil’s rise.
News of colder-than-normal temperatures in Northeast and
Northwest Europe also helped U.S. heating oil. [ID:nDTN856]

Crude oil’s risk premium rose following the WikiLeaks
revelations of secret U.S. diplomatic cables and as tensions in
the Korean peninsula persisted. [ID:nN28627451]
[ID:nN29216194]

Traders were positioning ahead of weekly industry and
government inventory data forecast to show a drawdown in crude
inventories.

FUNDAMENTALS

* On the New York Mercantile Exchange, crude for January
delivery (CLF1: ) settled up $1.97, or 2.35 percent, at $85.73 a
barrel, trading from $83.59 to $85.83, the highest since Nov.
12’s $87.85.

* U.S. crude stocks fell 400,000 barrels in the week to
Nov. 26, a Reuters poll showed, ahead of weekly inventory data.
Distillate stocks fell 900,000 barrels and gasoline stocks rose
1.2 million barrels, the poll showed. [EIA/S]

* The European Union approved an 85 billion euro ($115
billion) rescue for Ireland and outlined a permanent system to
resolve Europe’s debt crisis. [ID:nLDE6AR0M6]

* South Korean President Lee Myung-bak labeled North
Korea’s artillery attack on a west coast island a crime against
humanity and said the South would retaliate against any further
provocation. [ID:nL3E6MT0XZ]

* OPEC supplies of crude oil in November fell as damage to
a pipeline disrupted Nigerian exports and as several other oil
producers trimmed deliveries, according to a Reuters survey
released on Monday. [ID:nLDE6AP1NF]

* Supply from the 11 OPEC members with output targets, all
except Iraq, averaged 26.70 million barrels per day in
November, down from 26.79 million bpd in October, according to
the survey of oil companies, OPEC officials and analysts.

* Enbridge Inc’s (ENB.TO: ) 670,000-bpd Line 6A crude oil
pipeline in the U.S. Midwest is expected to run at reduced
rates until early this week, Enbridge said. [ID:nN26122553]

* Euro zone economic sentiment improved more than expected
in November, data showed on Monday. [ID:nBRLTME68N]

* Oil prices are forecast to average $83.66 a barrel in
2011, with the upside limited by euro zone debt woes and any
rise in Chinese interest rates. [O/POLL]

MARKETS NEWS

* The euro sank to a two-month low versus the dollar as
investors were unimpressed with Ireland’s rescue package and
remained fearful that another debt-laden euro zone economy may
be headed for a bailout. [FRX/] [USD/]

* U.S. equities faltered on on worries that Europe’s credit
crisis will spread, despite a rescue pact for Ireland. [.N]

* Gold rose after falling in the last two sessions as
worries about a widening European sovereign debt crisis and a
sharp decline in the euro prompted safe-haven buying. [GOL/]

* Copper ended lower on concerns that Ireland’s rescue
package could herald more debt problems in Europe, driving
investors to the safety of the dollar [ID:nLDE6AS12N]

UPCOMING DATA/EVENTS

* NYMEX December refined products contracts expire on
Tuesday.

* Conference Board consumer confidence data for November,
10 a.m. EST (1500 GMT), Tuesday.

SETTLE NET PCT LOW HIGH CURRENT DAY AGO

CHNG CHNG VOL VOL
CLc1 85.73 1.97 2.4% 83.59 85.83 314,691 174,178
CLc2 86.27 1.92 2.3% 84.17 86.38 60,176 33,206
LCOc1 87.34 1.76 2.1% 85.50 87.51 171,170 114,251
RBc1 2.2846 0.0743 3.4% 2.2103 2.2854 11,749 5,680
RBc2 2.2244 0.0660 3.1% 2.1542 2.2269 41,181 17,186
HOc1 2.3581 0.0419 1.8% 2.3180 2.3687 17,555 5,339
HOc2 2.3803 0.0473 2.0% 2.3325 2.3874 46,461 21,993
TOTAL MARKET VOLUME OPEN INTEREST

CURRENT Nov 26 30D AVG Nov 26 NET CHNG
CRUDE 496,487 271,643 624,905 1,333,267 -5,213
RBOB 89,273 35,823 115,622 274,576 -3,724
HO 91,205 37,472 102,574 315,650 1,367
(Reporting by Gene Ramos and Robert Gibbons; Editing by Lisa
Shumaker)

NYMEX-Crude ends up on products rally, geopolitics