Oil settles up 1% on tight supply, U.S. crude at 13-week high | Reuters

Oil settles up 1% on tight supply, U.S. crude at 13-week high | Reuters

Oil prices gained about 1% on Tuesday, with U.S. crude settling at a 13-week high on supply concerns, including no nuclear deal with Iran, and prospects for demand growth in China, which is relaxing lockdowns to control the pandemic.

Looking ahead, analysts polled by Reuters forecast U.S. crude inventories fell last week. A drop in crude stockpiles could further support prices.,

The American Petroleum Institute (API), an industry group, will issue its inventory report at 4:30 p.m. EDT (2030 GMT) on Tuesday. The U.S. Energy Information Administration (EIA) reports at 10:30 a.m. EDT (1430 GMT) on Wednesday.
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Robert Yawger, executive director of energy futures at Mizuho, said "several numbers" in the EIA report are "within striking distance of historical lows," including possibly crude storage for the country, crude storage at Cushing, Oklahoma and crude storage in Strategic Petroleum Reserve.

Brent futures gained $1.06, or 0.9%, to settle at $120.57 a barrel, its highest since May 31. U.S. West Texas Intermediate (WTI) crude gained 91 cents, or 0.8%, to $119.41, its highest settlement since March 8 which matched an August 2008 settlement high.