Oil gains on US plans to refill reserves, supply concerns

Oil prices rose for a second day on Tuesday, supported by U.S. plans to purchase oil for its Strategic Petroleum Reserve (SPR) and by raging wildfires in Canada that fuelled supply worries, News.Az reports citing Reuters. 

A raft of weaker than expected Chinese data that suggested a soft economy failed to dampen prices, with the market instead focusing on higher refinery throughput in the world's second-biggest oil consumer.

Brent crude futures climbed 30 cents, or 0.4%, to $75.53 a barrel by 0417 GMT, while U.S. West Texas Intermediate crude was at $71.38 a barrel, up 27 cents, or 0.38%.

Both benchmarks rose more than 1% on Monday, reversing a 3-session losing streak.

The U.S. Department of Energy said on Monday it would buy 3 million barrels of crude oil for the SPR for delivery in August, and asked that offers be submitted by May 31.


You Might Also Like