Oil prices rose on Tuesday, helped by a weaker dollar and supply disruptions in Libya, and recent comments by officials suggesting OPEC may extend its deal to cut global oil production.
But oil futures are still under pressure, as US oil production rebounds, and expectations that US crude inventories may rise again, underscoring the continued global supply glut that has negatively impacted prices for three years.
Brent crude for the nearest month rose 48 cents, compared to the previous close of 51.23 per barrel.
In the US, futures for WTI crude rose 48 cents to $ 48.21 a barrel.
Brent crude rose after a $ 50 a barrel test on Monday, traders say, and the dollar's decline supports crude futures, which could attract investors to safer commodity markets as oil becomes less expensive for countries using currencies other than the dollar.
The dollar rose slightly against a basket of major currencies today, but remains at levels not seen since November.
Brent crude and Western Texas Intermediate crude jumped more than 20 cents per barrel after it was found that Libya's production of oil fell by about one third or the equivalent of 252 thousand barrels per day, because of the disruption of armed factions production in oil fields spark and loyalty.
Brent and West Texas crude rose after Iran's oil minister, Begin Zengane, said a global agreement to cut oil production between the Organization of the Petroleum Exporting Countries (OPEC) and major non-OPEC producers was likely to be extended.
SOURCE
But oil futures are still under pressure, as US oil production rebounds, and expectations that US crude inventories may rise again, underscoring the continued global supply glut that has negatively impacted prices for three years.
Brent crude for the nearest month rose 48 cents, compared to the previous close of 51.23 per barrel.
In the US, futures for WTI crude rose 48 cents to $ 48.21 a barrel.
Brent crude rose after a $ 50 a barrel test on Monday, traders say, and the dollar's decline supports crude futures, which could attract investors to safer commodity markets as oil becomes less expensive for countries using currencies other than the dollar.
The dollar rose slightly against a basket of major currencies today, but remains at levels not seen since November.
Brent crude and Western Texas Intermediate crude jumped more than 20 cents per barrel after it was found that Libya's production of oil fell by about one third or the equivalent of 252 thousand barrels per day, because of the disruption of armed factions production in oil fields spark and loyalty.
Brent and West Texas crude rose after Iran's oil minister, Begin Zengane, said a global agreement to cut oil production between the Organization of the Petroleum Exporting Countries (OPEC) and major non-OPEC producers was likely to be extended.
SOURCE