Oil prices rise on tight supply worries, soft dollar supports

Oil prices ran out of steam on Tuesday after gaining more than $5 a barrel in the previous session with concerns that surging crude will feed into a demand-killing recession slightly outpacing continued worries about tight supply, Reuters reported.

Brent crude LCOc1 futures for September settlement fell 43 cents to $105.84 a barrel by 0446 GMT. The contract rose 5.1% on Monday, the biggest percentage gain since April 12.

WTI crude CLc1 futures for August delivery dipped 28 cents to $102.32 a barrel. The contract climbed 5.1% on Monday and the largest percentage gain since May 11.

The August WTI contract expires on Wednesday and the more actively traded September future CLc2 was at $98.98 a barrel, down 44 cents.

Oil prices have been whipsawed between concerns about supply as Western sanctions on Russian crude and fuel supplies over the Ukraine conflict have disrupted trade flows to refiners and end-users and rising worries that central bank efforts to tame surging inflation may trigger a recession that would cut future fuel demand.