Oil prices extended gains on Tuesday as hopes of a solid recovery in fuel demand following the reopenings of the U.S. and European economies offset concerns over spreading COVID19 cases in Asia.
Brent crude oil futures were up 19 cents, or 0.3, at 69.65 a barrel by 0517 GMT, while West Texas Intermediate WTI was up 18 cents, or 0.3, at 66.45 a barrel.
Both contracts rose more than 1 on Monday.
Behind the gain is growing optimism of strong recovery in gasoline and other fuels in the United States and Europe in light of easing of various pandemicrelated restrictions, said
Chiyoki Chen, chief analyst at Sunward Trading.
There are concerns about spreading infection cases in Asia, but it will be solved in a matter of time as the vaccine spreads, he added, predicting that Brent prices will be headed toward 75 a barrel later this month.
U.S. President Joe Biden will send at least 20 million more COVID19 vaccine doses abroad by the end of June, marking the first time the United States is sharing vaccines authorized for domestic use.
The British economy reopened on Monday, giving 65 million people a measure of freedom after a fourmonth COVID19 lockdown. And with accelerating vaccination rates, France and Spain have relaxed restrictions, and Portugal and the Netherlands have opened up travel.
In the United States, New York state will no longer require masks in most public spaces for people fully vaccinated against COVID19 as of Wednesday, and other regions are opening up…