Crude oil prices rose fairly sharply on Monday on hopes energy demand will pick up soon as the U.S. and European economies are showing signs of a quick recovery from the pandemic.
Reports that the U.K. will be relaxing some social restrictions supported oil prices. With climbing vaccinations and dwindling virus cases in the U.S., investors expect increased demand for gasoline in the world’s largest economy in the coming weeks.
West Texas Intermediate Crude oil futures for June ended up by $0.90 or about 1.4% at $66.27 a barrel, the highest close since April 23, 2019. WTI futures ended up by $1.55 or about 2.4% at $65.37 a barrel on Friday.
Brent crude futures were up $0.79 or 1.15% at 69.50 a barrel a little while ago.
France and Spain have reportedly relaxed COVID-related restrictions. Travel restrictions have been relaxed in Netherlands and Portugal as well.
However, the surge in coronavirus cases in Asian countries weighed a bit and limited oil’s uptick. India, Japan and Singapore are extending restrictions at several places to curb the spread of the infection.
Traders were also tracking news from the Middle East, where Israel and Gaza’s ruling Hamas militant group faced mounting international calls for a ceasefire in hostilities that entered their second week with no end in sight.
The material has been provided by InstaForex Company – www.instaforex.com