NYMEX-Oil climbs, nears 7-mth high after 30 pct May gain

SINGAPORE, June 1 (Reuters) - Oil extended gains on Monday after its biggest monthly rise in a decade in May, nearly touching its highest in seven months as stock market optimism and dollar weakness fuelled speculative buying and data pointed to economic recovery.

FUNDAMENTALS

* Motorists in the world's No. 2 consumer will be put to the test on Monday after Beijing agreed to raise retail diesel and gasoline prices by 6-7 percent from Monday, relieving some pressure on refiners after crude's advance. [ID:nLV71842]

* OPEC seems in no hurry to revive production, preferring to wait until crude inventories fall to around 53 days of forward cover before considering raising output, Saudi Oil Minister Ali al-Naimi was reported as saying on Friday. [ID:nLU396049]

* More U.S. refineries shut units for planned maintenance at the weekend, including a coking unit at Flint Hills 300,000 bpd Corpus Christi, Texas, plant and gasoline-making FCC precipitators at Conoco's Borger, Texas, refinery. [REF/OUT]

MARKETS NEWS

* The dollar sank a five-month low against a basket of major currencies on Friday and the euro rose above $1.41 for the first time this year as investors bought higher-yielding currencies and assets on hopes of a global economic recovery. [ID:nN29408363]

* U.S. stocks rose on Friday, capping their third straight monthly advance, as rising commodity prices lifted shares of natural resource companies, while a sliding dollar boosted the allure of multinationals, including Coca-Cola Co (KO.N). [.N]

* The rebound in commodities from the recession's lows gained further traction on Friday after Japanese and U.S. data suggested the global economic downturn could be moderating. [COM/WRAP]