Oil prices above $68 in Asian trade

Oil prices held above $68 a barrel in Asian trade Tuesday after rebounding from overnight falls amid hopes of a recovery for the ailing global economy.

In morning trade, New York's main futures contract, light sweet crude for delivery in July, was up 56 cents to $68.65 a barrel. The contract touched $70.32 last Friday, its highest level since November 4.

Brent North Sea crude for July delivery advanced 57 cents to $68.45.

Data indicating that the worst may be over for the recession-battered US economy, the biggest in the world, have been stoking hopes for a rebound from the current global crisis.

US employment figures released on Friday said the number of job losses slowed to a better-than-expected 345,000 in May.

The report, seen as one of the best indicators of economic momentum in the United States suggested that the pace of massive job cuts is easing, a positive sign for the US economy, the world's biggest energy consumer.

"The bounce in commodity prices is likely to be sustained while...Expectations of recovery continue to build," London-based consultancy Capital Economics said in a note.

It cautioned however that "disappointment at the strength of the economic expansion should take the heat out of the latest rally."