Oil prices extend gains on tight supply, firm demand expectations

Oil prices rose more than $1 on Wednesday, buoyed by tight supplies and the prospect of rising demand from the upcoming start of the summer driving season in the United States, the world’s biggest crude consumer, Reuters reported.

Brent crude LCOc1 futures for July rose $1.38, or 1.2%, to $114.94 a barrel by 0511 GMT. Brent futures gained 0.1% on Tuesday and are up for a fifth day.

U.S. West Texas Intermediate (WTI) crude CLc1 futures for July delivery rose $1.35, or 1.2%, to $111.12 a barrel. The contract settled down 52 cents on Tuesday.

Global crude supplies continue to tighten as buyers avoid oil from Russia, the world’s second-largest oil exporter, amid sanctions following its invasion of Ukraine.