Oil prices rose by about 1 dollar per barrel on Monday, due to concerns that tensions in the Middle East and Russia’s continued invasion of Ukraine could reduce global supply.
Brent oil rose $0.66, or 0.9%, to $78.22 per barrel, while U.S. West Texas Intermediate (WTI) oil closed at $72.78 per barrel, a 0.7% increase of $0.50. Both contracts rose for the first time in four sessions.
Traders have been closely monitoring the situation in the Middle East, where progress in ceasefire negotiations between Israel and Hamas seemed elusive, indicating that tensions in the oil-producing region are likely to persist.
The United States also continued its campaign against the Houthi rebels in Yemen, who have been attacking shipping vessels, disrupting global oil trade routes.
These gains on Monday come after oil prices fell 7% the previous week due to concerns over weak economic activity in China and diminished hopes for imminent interest rate cuts in the United States.
