UPDATE 8-Oil gains on stimulus optimism ahead of Biden inauguration

Reuters

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    * 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 settlement 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 $1.15, or
2.1%, to settle at $55.90 a barrel, while U.S. West Texas
Intermediate (WTI) crude  CLc1  rose 62 cents, or 1.2%, to
settle at $52.98. 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.
 urn:newsml:reuters.com:*:nL4N2JU34V
    Yellen urged lawmakers to "act big" on the next coronavirus
relief package, adding that the benefits outweigh the costs of a
higher debt burden.  urn:newsml:reuters.com:*:nL1N2JU1MJ
    "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.  urn:newsml:reuters.com:*:nL4N2JQ1SR  urn:newsml:reuters.com:*:nL1N2JT042
    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.
 urn:newsml:reuters.com:*:nL4N2JU3IW
    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.
 urn:newsml:reuters.com:*:nL1N2JU1BV
    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.  urn:newsml:reuters.com:*:nL1N2JU0H5
 urn:newsml:reuters.com:*:nL8N2JU1MU  urn:newsml:reuters.com:*:nL8N2JU1KT

 (Additional reporting by Shadia Nasralla in London and Florence
Tan in Singapore; Editing by Marguerita Choy and David Goodman)
 ((scott.disavino@thomsonreuters.com; +1 332 219 1922; Reuters
Messaging: scott.disavino.thomsonreuters.com@reuters.net))

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