Oil edges up as rising demand offsets #Iran supply worries | Reuters

Oil edges up as rising demand offsets Iran supply worries | Reuters

Oil prices edged higher on Tuesday as rising demand from the approach of the Northern Hemisphere’s summer driving season and lifting of coronavirus restrictions offset worries that Iran’s possible return to the market will cause supplies to jump.

After gaining over 5% in the prior two sessions, Brent futures rose 16 cents, or 0.2%, to $68.62 a barrel by 12:18 p.m. EDT (1618 GMT), while U.S. West Texas Intermediate (WTI) crude rose 19 cents, or 0.3%, to $66.24.

That kept both benchmarks on track for their highest closes in a week.

“Oil prices ... remain at high levels as the high season for oil demand is approaching and as restrictions are lifted in much of Europe and the United States,” said Louise Dickson, oil markets analyst at Rystad Energy.

Parts of Europe and the United States are recording fewer COVID-19 infections and deaths, prompting governments to ease restrictions. However, in areas such as India - the world’s third-biggest oil importer - infection rates remain high.