Oil prices are climbing near $108 per barrel as optimism grows about a strengthening global economy.

A private survey of the U.S. homebuilding industry on Monday March 19, 2012 found that companies are increasingly hopeful that home sales will rise in coming months. International Monetary Fund Managing Director Christine Lagarde also said over the weekend that the global economy has "stepped back from the brink."

The rise in oil also follows last week's rally on Wall Street.

Benchmark U.S. crude added 56 cents to $107.62 per barrel in New York while Brent crude fell by 17 cents to $125.63 per barrel in London.

Meanwhile, retail gasoline increased more than a penny over the weekend to $3.842 per gallon.