MW: Oil tips higher as OPEC forecasts demand rebound
By Laura Mandaro, MarketWatch
SAN FRANCISCO (MarketWatch) -- Crude oil futures rose early Tuesday after the Organization of Petroleum Exporting Countries lifted its estimate of how much crude its members will need to produce in 2010 to meet world consumption.
Crude oil for January delivery was last up 32 cents, or 0.4%, at $69.80 a barrel in electronic trade. On Monday, the contract fell for a ninth straight session amid concerns over weak demand.
The Organization of Petroleum Exporting Countries raised its forecast for world oil demand next year by 70,000 barrels a day, citing demand from developing countries.
However, it said the pace of recovery in developed countries, especially in the U.S., remained at risk and could dampen demand.
Separately, the U.S. Labor Department said higher energy costs pushed the U.S. producer price index to surge 1.8% in November, a rate that far exceeded analysts' expectations.
Economists surveyed by MarketWatch had predicted a rise of 1.0% for the month.
Stock futures pointed to a higher open. The dollar was slightly higher against a basket of currencies.
