-- Hopes for stimulus from the US Federal Reserve support oil
prices
-- Brent crude oil likely to stay in $96-$98 range until
Sunday's election in Greece, analysts say
-- Tentative trading ahead of the events next week that include
Iran nuclear talks
Crude oil futures were higher Friday partly on speculation that
the U.S. Federal Reserve would introduce stimulus measures at its
meeting next week.
At 1058 GMT, the August Brent contract on London's ICE futures
exchange was up 45 cents, or 0.5%, at $97.62 a barrel. The July
contract on the New York Mercantile Exchange was trading up 58
cents, or 0.7%, at $84.51 a barrel.
Brent and WTI oil prices traded in a narrow range in London.
Some traders stayed on the sidelines ahead of a full agenda of
events that could move the market next week, including Sunday's
election in Greece and the U.S. Federal Reserve meeting.
David Wech, analyst at JBC Energy, said the likelihood that the
Fed will pursue further stimulus measures is increasing. He cited
negative signals coming from the U.S. job market, such as the
number of Americans filing for unemployment benefits rising last
week for the fifth time in the past six weeks.
An additional stimulus package could spur economic growth,
something that could help to boost demand for oil products from
consumers.
The decision by the Organization of Petroleum Exporting
Countries Thursday to keep its production ceiling unchanged at 30
million barrels a day and reduce overproduction has also provided
support for prices, analysts said, even though the decision was
widely expected.
"Everybody's waiting for the Greek election," said Thina
Saltvedt, a senior oil market analyst at Nordea Bank Norge. She
said Brent crude oil was likely to trade between $96 and $98 a
barrel until Sunday's election in Greece.
Monday and Tuesday, talks take place in Moscow between Iran and
the West over higher level uranium enrichment. The outcome of these
talks will likely guide the direction of prices, Ms. Saltvedt
said.
At 1101 GMT, the ICE's gasoil contract for July delivery was
trading $6.25 higher at $851.00 per metric ton, while Nymex
gasoline for July delivery was up 87 points at $2.6851 per
gallon.
-Write to Jenny Gross at jenny.gross@dowjones.com