Oil, copper and corn rose for the first time in seven days after President-elect Barack Obama pledged the biggest U.S. public works program in half a century to revive the economy.

Commodities climbed on speculation spending on roads, bridges and repairing school buildings will boost raw material demand. Congress and President George W. Bush also are close to agreeing on a $15 billion rescue of U.S. automakers that may be signed this week.

“The markets are cheered by the move to bail out the automobile industry and the emphatic statements from the Obama team that are pointing to a massive stimulus package,” said Michael Fitzpatrick, vice president for energy risk management at MF Global Ltd. in New York.

Crude oil for January delivery rose $2.90, or 7.1 percent, to settle at $43.71 a barrel on the New York Mercantile Exchange. Futures touched $40.50 on Dec. 5, the lowest since Dec. 13, 2004.

Obama, in a television interview yesterday on NBC, reiterated his commitment to the biggest investments in the nation’s infrastructure since President Dwight D. Eisenhower created the interstate highway system in the 1950s. The U.S. president-elect takes office on Jan. 20.

A proposal unveiled today by congressional Democrats would require the president to appoint a person or board to oversee long-term restructuring of the auto industry as a condition for receiving federal aid. General Motors Corp., Ford Motor Co. and Chrysler LLC would be eligible for loans. read more