Oil hits $70, two-month high, as Europe, U.S. reopen economies | Reuters

Oil hits $70, two-month high, as Europe, U.S. reopen economies | Reuters

Oil rose on Tuesday to hit $70 a barrel for the first time since March, as expectations of demand recovery following reopenings of the European and U.S. economies offset concern over spreading coronavirus cases in Asia.

The British economy reopened on Monday, and Europe is starting to reopen cities and beaches. New cases in the United States continued to fall and New York lifted the mask requirement for vaccinated people.

Brent crude was up 55 cents, or 0.8%, at $70.01 by 0907 GMT, trading above $70 for the first time since March 15. U.S. West Texas Intermediate (WTI) crude was up 37 cents, or 0.6%, at $66.64.

"Economies are again switching a gear higher," said Tamas Varga of broker PVM. "The euphoria is reflected in the general belief that the economic revival will be soon coupled with oil demand recovery."