Oil prices rose on Tuesday as investors fretted over tight global supply after Libya was forced to halt some exports and as factories in Shanghai prepared to reopen post a COVID-19 shutdown, easing some demand worries.
Brent crude futures rose 61 cents, or 0.5%, to $113.77 a barrel at 0349 GMT, while U.S. West Texas Intermediate (WTI) crude futures gained 33 cents, or 0.3%, to $108.54 a barrel. Gains were limited with the dollar trading at a fresh two-year high.
A stronger dollar hurts oil buyers holding other currencies. Both benchmark contracts gained more than 1% in the previous session after hitting their highest since March 28 on political crisis in Libya.
The country said it could not deliver oil from its biggest oil field and shut another field due to political protests. “Outages in Libya deepened concern over tight global supply and the Ukraine crisis dragged on, offsetting concern over slowing Chinese demand,” said Ajay Kedia, director at energy consultancy Kedia Commodities. [Reuters]
