* U.S. Treasury nominee Yellen urges more coronavirus
spending
* OPEC cautiously optimistic oil market will recover in 2021
* Halliburton predicts recovery in the global oil and gas
industry
* IEA cuts 2021 oil demand outlook, but sees upturn in
second half
* Coming Up: U.S. President-elect Joe Biden inauguration on
Wed.
(Adds latest prices)
By Scott DiSavino
NEW YORK, Jan 19 (Reuters) - Oil prices climbed with U.S.
stock markets on Tuesday ahead of Joe Biden's inauguration as
U.S. president on optimism that more government stimulus will
eventually lift global economic growth.
Brent LCOc1 futures for March delivery rose $1.08, or
2.0%, to $55.83 a barrel by 1:25 p.m. EST (1825 GMT), while U.S.
West Texas Intermediate (WTI) crude CLc1 rose 52 cents, or
1.0%, to $52.88. Front-month February WTI futures expire on
Wednesday.
Wall Street's main indexes rose after upbeat earnings from
big U.S. banks and comments from U.S. Treasury Secretary nominee
Janet Yellen ahead of Biden's inauguration on Wednesday.
Yellen urged lawmakers to "act big" on the next coronavirus
relief package, adding that the benefits outweigh the costs of a
higher debt burden. "As we are approaching the beginning of the Biden
administration era in the U.S., traders now have their hopes up
for a rapid positive effect on markets coming from the promised
($1.9 trillion) stimulus package," said Rystad Energy's head of
oil markets, Bjornar Tonhaugen.
Investors were also upbeat on demand in China, the world's
top crude oil importer, after data showed its refinery output
rose 3% to a record high in 2020. Halliburton Co HAL.N , meanwhile, predicted a recovery in
the global oil and gas industry from the second quarter after
the oilfield services provider beat profit estimates on cost
cuts and modest gains in activity following last year's slump.
And OPEC's secretary general said he was cautiously
optimistic the oil market would recover this year from the slump
in demand brought about by the coronavirus pandemic.
Crude prices rose even though the International Energy
Agency (IEA) cut its outlook for oil demand in 2021 but pointed
to a recovery in the second half of the year to an annual
average of 96.6 million barrels per day.