Oil Rises Near Three-Week High as Europe Prepares Bank Support

Oil advanced to trade near its highest in three weeks in New York on speculation that European Union proposals on bank recapitalization will support economic growth and fuel consumption.

Futures rose for a sixth day, their longest winning streak this year. European Commission President Jose Barroso is due to outline plans in Brussels today. The International Energy Agency, which cut its global oil demand forecast for 2012, said recent data doesn’t signal a “downward consumption spiral.”