Oil Futures Trading Above $60 a Barrel

Yesterday, oil prices touched $60 a barrel before falling back. Today, though, the story is different -- at least in the early U.S. session. Oil prices are holding their gains today. Oil futures are trading just above $60 a barrel, on economic recovery hopes, problems in Nigeria and on U.S. inventory news.

Economic recovery hopes: When the global economy starts to recover, oil demand is expected to rise. There are hopes that the worst of the recession is over, and that economic recovery is about to begin.

Problems in Nigeria: Nigeria has been seeing periods of unrest for years, and when there is a flare up, it affects oil prices (sending them higher). Refineries in Nigeria are being attacked, which is restricting supply. Unrest stems from rebels who are unhappy with how oil wealth is distributed.

U.S. inventory: U.S. oil stockpiles are considered a gauge of how much demand there is in the world's largest oil-consuming country. Stockpiles are expected to have dropped for a second week, which means that demand is up in the U.S.