(Recasts throughout, changes dateline from previous LONDON)
* Oil drops to lowest since Nov before rebounding on OPEC
* Safe-haven bonds, yen and gold stable after safe-haven
* Euro hovers at highest since Nov ahead of French election
* U.S. non-farm payrolls beats expectations, 211,000 jobs
By Rodrigo Campos
NEW YORK, May 5 Crude oil bounced back from its
lowest level since November on the likelihood that key producers
could extend output cuts beyond an agreed-on June deadline,
while a global stocks index set a fresh record high as corporate
earnings remained strong.
Markets were rattled overnight as crude stumbled further,
its weekly decline close to 10 percent at one point, but
comments from Saudi Arabia's OPEC governor helped put a floor
under oil prices.
"There's an emerging consensus among participating countries
on the need to extend the production agreement reached last
year," Adeeb Al-Aama told Reuters.
OPEC, Russia and other producers have agreed to curb
production by 1.8 million barrels per day until June 30. OPEC
ministers next meet on May 25.
Better-than-expected U.S. non-farm payrolls data showed jobs
growth rebounded sharply last month with 211,000 added and the
national unemployment rate down to near a 10-year low of 4.4
On Wall Street, the energy sector of the S&P 500 was
posting its strongest daily showing since late March while the
benchmark S&P, despite the strong payrolls report, remained in
the tight range it has kept over the past two weeks.
"OPEC is going to continue the cuts. The question is, is
that enough to keep oil prices at a level that is good for
business and for producers?" said Quincy Krosby, market
strategist at Prudential Financial in Newark, New Jersey.
"Today it has helped to the overall turn on the markets."
The Dow Jones Industrial Average fell 9.72 points, or
0.05 percent, to 20,941.75, the S&P 500 gained 3.08
points, or 0.13 percent, to 2,392.6 and the Nasdaq Composite
added 5.07 points, or 0.08 percent, to 6,080.41.
The pan-European FTSEurofirst 300 index rose 0.61
percent and MSCI's gauge of stocks across the globe
gained 0.31 percent.
Emerging market stocks lost 0.27 percent. Overnight, MSCI's
broadest index of Asia-Pacific shares outside Japan
closed 0.66 percent lower.
Both Brent and U.S. crude fell almost 4
percent overnight on mounting concerns about oversupply. But by
late morning trading in New York, weekly declines of close to 10
percent were all but halved.
Concerns over a slowdown in China have hit other commodities
this week, with Chinese iron ore futures down more
than 10 percent this week's low and copper touching its
lowest since January.
Prudential's Krosby said the slide in commodities would not
necessarily drag other markets lower "as long as you accept the
thesis that it is all about supply."
"But if you add a slowdown in China," she said, "it becomes
a demand story.
U.S. crude rose 1.89 percent to $46.38 per barrel
and Brent was last at $49.26, up 1.82 percent on the
Copper rose 0.76 percent to $5,585.00 a tonne.
Spot gold added 0.1 percent to $1,228.75 an ounce.
U.S. gold futures gained 0.06 percent to $1,229.30 an
In currency markets, the U.S. dollar hit its lowest level in
roughly six months against the euro after the strong U.S. jobs
data failed to shake investors' bullishness toward the euro
ahead of the second round of France's presidential
The dollar index fell 0.18 percent, with the euro
up 0.1 percent to $1.0995.
The Japanese yen weakened 0.12 percent versus the greenback
at 112.64 per dollar, while Sterling was last trading at
$1.2956, up 0.28 percent on the day.
The Canadian dollar strengthened 0.34 percent versus the
greenback at C$1.37 per dollar, after 10 consecutive sessions of
The loonie, the Australian dollar and Russia's rouble
, among the world's most commodity- sensitive currencies,
were all sent spinning overnight but later stabilized.
Benchmark 10-year notes last rose 1/32 in price
to yield 2.3542 percent, from 2.356 percent late on Thursday.
(Reporting by Rodrigo Campos; Editing by Nick Zieminski)