Oil gains nearly 2% as demand optimism continues to counteract India’s covid case surge
Oil prices rose on Tuesday after more U.S. states eased lockdowns and the European Union sought to attract travellers, though soaring COVID-19 cases in India capped gains.
Brent crude futures were up $1.01, or 1.48%, at $68.50 a barrel after climbing by 1.2% on Monday.
U.S. West Texas Intermediate (WTI) crude futures settled $1.20, or 1.86%, higher at $65.69 per barrel, after a 1.4% jump on Monday. Both contracts were up about 2% in earlier trade.
“Markets were optimistic coming into the day, boosted by flight movement between U.S. and Europe,” said Phil Flynn, senior analyst at Price Futures Group in Chicago. Demand for diesel fuel, including jet, has suffered during the pandemic, weighing down global oil markets.
Prices are being supported by the prospect of a pick-up in fuel demand as New York state, New Jersey and Connecticut look to ease pandemic curbs and the EU plans to open up to foreign visitors who have been vaccinated, analysts said.
Reference: CNBC
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