Aug. 24 (Bloomberg) -- Crude oil traded near a 10-month high after a rebound in sales of existing homes in the U.S. helped spur optimism the global economy is emerging from recession. Oil climbed alongside Asian equities after established home sales jumped more than forecast in July to the highest level in almost two years, signaling the housing crisis that crippled the world’s largest economy may be easing. The dollar fell for a fifth day against the euro, bolstering the appeal of commodities. “A lot of the gains in commodities have been based on what I’d call ‘loose fundamentals’ -- driven heavily by what’s happening in equity markets rather than supply-demand issues,” Mark Pervan, senior commodity strategist at ANZ Banking Group Ltd. in Melbourne, said in a Bloomberg Television interview. Crude oil for October delivery rose as much as 46 cents, or 0.6 percent, to $74.35 a barrel in after-hours electronic trading on the New York Mercantile Exchange. It traded at $74.21 at 10:58 a.m. in Singapore. The contract climbed 1.3 percent to $73.89 a barrel Aug. 21, the highest settlement since Oct. 21, as equities rallied and the dollar fell. Futures have gained 66 percent in 2009. “If equities continue to move higher it’s almost certain we’re going to see crude follow,” said Toby Hassall, research analyst with Commodity Warrants Australia Pty in Sydney. The dollar traded at $1.4337 to the euro at 11 a.m. in Singapore, slipping from $1.4326 in New York Aug. 21. The MSCI Asia Pacific Index advanced 2.1 percent to 112.37 as of 10:33 a.m. in Tokyo, with about 14 times as many stocks advancing as retreating. Oil Stockpiles Oil prices surged Aug. 19 after the U.S. Energy Department reported an 8.4 million-barrel drop in the country’s commercially held stockpiles. The unexpected decline left inventories, still 12 percent higher than a year earlier, at a four-week low. This week’s data will be “eagerly” awaited to see if the reported 2.4 percent decline was a statistical aberration, according to Hassall. Another large stock draw “would really be more of a justification for where we are with prices, than a lot of fuel to move higher,” he said. “The oil price is at a pretty fair level at the moment.” Brent crude oil for October settlement rose as much as 50 cents, or 0.7 percent, to $74.69 a barrel on the London-based ICE Futures Europe exchange. The contract traded at $74.63 at 10:56 a.m. in Singapore. Nigeria Rebels A rebel group in Nigeria threatened to resume attacks on oil infrastructure that have cut exports by more than 20 percent since 2006. The Movement for the Emancipation of the Niger Delta, an armed group in Nigeria’s main oil region, said Aug. 22 it has suspended peace talks because the government “expects disarmament without the real issues being addressed.” “MEND will be compelled to resume with ferocious attacks on the oil industry at the end of our cease-fire on Sept. 15,” spokesman Jomo Gbomo said in an e-mailed statement. Nigeria is part of the Organization of Petroleum Exporting Countries, which pumps 40 percent of the world’s crude oil. The 12-member group is scheduled to discuss policy Sept. 9 in Vienna.

Source