Oil futures rise as commodity rally holds

TOKYO, March 22 (Reuters) - Oil prices rose in early Asian
trade on Tuesday, adding to gains from the previous session
after data showed U.S. crude inventories fell for the first time
since January and as commodity prices broadly strengthened.
U.S. crude futures for May, the front month from Tuesday,
were up 10 cents at $41.62 a barrel at 0026 GMT
The previous front month gained 47 cents, or 1.2 percent, to
settle at $39.91 before expiring on Monday. The May contract
finished up 38 cents at $41.52 on Monday.
Brent crude futures for May delivery LCOc1 were 8 cents
higher at $41.62.
On Monday, the contract climbed 0.8 percent to $41.54 a
barrel. Brent has risen more than 50 percent from 12-year lows
in January.
"The current risk-on environment remains conducive for
commodity prices to consolidate after a strong rebound in the
last six weeks," ANZ said in a morning note.
"However, a further improvement in fundamentals will be
needed for bulks, crude oil and base metals to rally further."
Stockpiles at the Cushing, Oklahoma delivery hub for U.S.
crude fell 570,574 barrels to 69.05 million in the week to March
18, traders said on Monday, citing data from market intelligence
firm Genscape.
Cushing inventories had previously risen toward 70 million
barrels, causing market participants to fear they could hit
capacity.
Iran may join other oil producers planning to freeze
production to support prices at a later date, OPEC's secretary
general said on Monday, as the country is seeking to raise its
exports after Western sanctions were lifted on Tehran in
January.
Producers from the Organization of the Petroleum Exporting
Countries and non-members are due to meet on April 17 in Qatar
discuss the output freeze.
Iran is keen to increase its oil exports, which fell by more
than half during the sanctions over Tehran's disputed nuclear
programme, and has said it should not be bound by a production
freeze until it can recover its market share.