Oil bull run continues as EU agrees to ban most Russian oil | Reuters

Oil bull run continues as EU agrees to ban most Russian oil | Reuters

Oil prices extended a bull run on Tuesday after the European Union agreed to a partial and phased ban on Russian oil and China decided to lift some COVID-19 restrictions amid rising demand before the peak U.S. and European summer driving season.

Brent crude for July, which expires on Tuesday, rose $2.31, or 1.9%, to $123.98 a barrel by 1338 GMT, after earlier rising to $124.64 - its highest since March 9. The August contract hit a high of $120.80.

The premium of August-loading Brent contracts over a six-month spread hit a nine-week high at close to $15 a barrel, indicating current supply tightness.

U.S. West Texas Intermediate (WTI) crude was trading at $119.18 a barrel, up $4.11 in a fourth consecutive session of gains, up 3.6% from Friday's close, hitting its highest since March 9. There was no settlement on Monday's U.S. holiday.