SULAIMANI (ESTA) — Oil prices extended gains on Tuesday as more U.S. states eased lockdowns and the European Union sought to attract travelers.
Brent crude futures rose 48 cents to $68.04 a barrel at 0830 GMT. U.S. West Texas Intermediate (WTI) crude futures also ticked 47 cents to $64.96 per barrel.
“Optimism on improving demand appears to be the main driver for the rise in oil prices at the moment after New York Fed’s Williams signaled the U.S. economy is poised to grow at its fastest decades,” head of CMC Markets Alpha Ash Glover told Reuters.
Reuters cited analysts as saying that prices were being supported by the prospect of a pick-up in fuel demand in the United States and Europe, as New York state, New Jersey and Connecticut were set to ease pandemic curbs.
The European Union also planned to open up to more foreign visitors who have been vaccinated, according to the analysts.
“This should boost holiday travel to coastal regions, as well as increase mobility in major cities,” ANZ Research analysts said in a note, Reuters reported.
*This story was updated at 11:30 a.m. EBL time
