UPDATE 5-Oil rises to $61 on trade hopes; U.S. inventories eyed

UPDATE 5-Oil rises to $61 on trade hopes; U.S. inventories eyed

* API says U.S. crude inventories rose, EIA report due * China, U.S. to hold trade talks in October * OPEC-led supply cuts support, but output rises in August (Updates prices) LONDON, Sept 5 (Reuters) …