West Texas Intermediate crude rose a third day on signals that global economic growth will accelerate, bolstering fuel consumption.

Futures advanced as much as 1.4 percent as the Thomson Reuters/University of Michigan preliminary index of consumer sentiment rose to 83.7 in May, higher than any of the forecasts in a survey. A government report yesterday showed Japanese gross domestic product grew 3.5 percent at an annualized pace, the most in a year. European Union car sales gained in April for the first time since September 2011.

WTI oil for June delivery rose 22 cents to $95.38 a barrel at 11:30 a.m. on the New York Mercantile Exchange. Prices are down 0.7 percent this week. The volume of all contracts traded was 22 percent above the 100-day average.

Brent crude for July settlement increased 23 cents to $104.01 a barrel on the London-based ICE Futures Europe exchange. The June contract expired at $103.80 yesterday. Volume for all contracts was 1.3 percent lower than the 100-day average.

Gold declines seventh consecutive session, helped by signs of weakening demand for the precious metal. Reduction in the price of gold is almost completely leveled his recovery after a record decline in mid-April.

The volume of gold in exchange-traded funds holding (ETF), dropped this week to their lowest level since July 2011. Submitted on Wednesday evening, data showed that some hedge funds, including fund headed by George Soros, have reduced their stakes in gold ETF in the 1st quarter.

Investor demand for gold, which is traditionally considered to be safe haven, fell, as U.S. stocks soared to record highs, as fears about the stability of the financial system weakened.

In addition, those market participants who are buying gold as a hedge against inflation, felt that the need for holding the metal is reduced, since inflation in developed countries remains low-key, and Fed officials are discussing the possibility of folding the enabling policy of the central bank.

Report of the World Gold Council showed that global demand for gold in the 1st quarter was the lowest in three years, since a large share of the liquidation in the ETF leveled demand for jewelery, bars and coins.

The cost of the June gold futures on COMEX today dropped to 1357.60 dollars an ounce.

Change % Change Last

GOLD 1,385.30 -10.90 -0.78%

OIL (WTI) 94.99 0.69 0.73%