Oil hits near 6 month high as U.S. data spurs optimism

NEW YORK (Reuters) - Oil rose more than 3 percent on Friday to touch a near six-month high as the results of the U.S. governments stress test for big banks and U.S. jobs data added to optimism about the economy.

U.S. crude gained $1.92 to settle at $58.63 a barrel, after earlier touching $58.69, the highest level since November 17. Brent crude settled up $1.67 at $58.14 a barrel.

Oil, battered as the economic crisis slowed demand and sent prices down from a record over $147 a barrel in July, has risen over the past two months as hopes the economic recession may be easing lifts stock markets.

"Crude futures are higher because people think the sky is no longer falling. A month ago, you wouldn't think they would think that way, but now they're buying," said Mark Waggoner, president of Excel Futures in Huntington Beach, California.

"On the economy, from the middle of the week, we've seen positive numbers on jobs -- private sector jobs, jobless benefit claims and now smaller than expected job losses last month."

U.S. stocks gained after the stress test results fueled financial stocks, and data showed employers cut fewer-than-expected jobs in April.

U.S. employers cut 539,000 jobs last month, the fewest since October, signaling the economy's steep decline might be easing and giving the stock market a boost.

German exports posted their first rise in six months in March, according to the country's Federal Statistics Office on Friday.

Signs of a potential economic recovery have helped increase oil prices by around 70 percent from February lows below $34 a barrel, though analysts say oil's positive correlation to equities markets could be cut if rising inventories weigh on crude's rally.