Oil climbs above $74 on optimism about a global economic rebound

Oil prices climb above $74 on recovery hopes

BANGKOK — Oil prices climbed above $74 a barrel Monday in Asia amid spreading optimism about a global economic recovery.

Expectations that demand for energy will grow were spurred by Federal Reserve Chairman Ben Bernanke who said Friday that the U.S. economy is reviving.

Benchmark crude for October delivery rose 22 cents to $74.11 a barrel by midafternoon Singapore time in electronic trading on the New York Mercantile Exchange. On Friday, it jumped 98 cents to settle at $73.89.

In more good news for the U.S. economy, the National Association of Realtors said Friday that home resales posted the largest monthly increase in at least 10 years.

Asian stock markets rallied on recovery hopes, with Japan’s Nikkei 225 index jumping 3.4 percent.

In other Nymex trading, gasoline for September delivery added 2.43 cents to $2.0199 a gallon and heating oil for September delivery added 1.28 cents to $1.9177 a gallon. Natural gas for September delivery fell 2.9 cents to $2.775 per 1,000 cubic feat after tumbling another 14.1 Friday.

In London, Brent prices rose 29 cents to $74.50 a barrel on the ICE Futures exchange.