OIL-barrel rise, profit slows some concern for distillates

Oil prices were trading on Tuesday above $ 69 a barrel because of an expected decline in crude inventories in the United States.

But the concern that U.S. stocks of distillates have grown, capping gains. The oil market was expecting a weekly inventory report from the American Petroleum Institute (API) to be released at 2030 GMT. Analysts have predicted a fall of 2.7 million barrels in crude stocks and a 1.5 million rise in distillate inventories. Gasoline stocks would rise by 800,000 barrels.

Prices barely moved after the Organization of Petroleum Exporting Countries (OPEC) left its forecast for demand as of 2010, and said signs of an upturn in the global economy continue to grow, but that recovery will be slow and gradual.

Prices of U.S. oil contract for October delivery gained 447centavos dollar, to $ 69.33 at 1208 GMT, while Brent crude rose to $ 67.50.

"There is concern about rising inventories," the analyst told Reuters Christophe Barret, at Calyon.

The government's Energy Information Administration (EIA) will release inventory data on Wednesday.

There is also concern in the market on news that the main U.S. stock market would increase the application of limits on the size of positions in the futures markets since 14 September.

But a source told Reuters on Monday that the CME Group, which operates the New York Mercantile Exchange (NYMEX) applications will not raise limits on positions and that the warning on Friday about it was "routine".