Oil prices rise, all eyes on Greece

SINGAPORE (Reuters) - Oil prices edged higher on Friday, sticking to a tight range as investors focused on talks aimed at averting a Greek debt default.

Brent crude for August delivery was up 40 cents at $63.60 a barrel by 0543 GMT (0143 EDT) after ending the previous session down 29 cents, or 0.5 percent.

U.S. crude for delivery in August climbed 12 cents to $59.82 a barrel after finishing Thursday down 57 cents, or almost 1 percent.

"Traders and investors are very much on tenterhooks on the outcome," said Ben Le Brun, a market analyst at OptionsXpress in Sydney, following another failed round of talks to finalize a cash-for-reform pact for Greece.

Euro zone finance ministers are due to meet on Saturday in a last-ditch attempt to clinch a deal with Greece to avoid a debt default by Athens and possibly a Greek exit from the euro.

Oil prices have been oscillating around technical resistance and support levels, said Ric Spooner, chief market analyst at Sydney's CMC Markets.

U.S. crude fell 12 cents in early Asian trade before turning positive later in the session.

A surge in U.S. private consumer spending, which recorded its biggest rise in nearly six years in May, according to U.S. government figures, gave a boost to U.S. oil prices on Friday, Spooner said.

U.S. crude, also known as West Texas Intermediate, faces pressure from a larger-than-expected build in gasoline and distillate stocks last week, Le Brun said. But he noted that Greece would be Asian traders' main focus on Friday.

"The market is looking to the weekend at the euro zone meetings now. There is a lot to play for this weekend," Le Brun said.

The market was also watching talks between Iran and six world powers to see whether there would be an agreement on Tehran's nuclear program by the June 30 deadline.

"Prices continue to stay within range and (we) do not think that this range would shift until next Tuesday, the deadline for Iranian nuclear negotiations," Phillip Futures said in a research note.

WTI and Brent should find support at $59 and $62.38, with resistance at $61.8 and $65, the note said.

"With prices being at support, it seems prices should move higher for today. However, even if prices do move upwards, we expect to see them stop at the resistance levels mentioned," the note added.

(Editing by Alan Raybould and Richard Pullin)

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