West Texas Intermediate (WTI) oil prices started Monday’s session on a bullish tone and extended a multiweek with further gains, amid supply restraint from major producers and growing demand for fuels as economies slowly recover from the coronavirus pandemic.
The bullish sentiment has strengthened as more vaccinated populations are brought out of lockdowns and fuel economic activity.
U.S. crude inventories rose for a second straight reporting period last week as more production returned after extended shut-ins due to hurricanes.
Meanwhile, last week, the Organization of the Petroleum Exporting Countries (OPEC) and allies, called OPEC+, decided to maintain a steady and gradual increase in production.
As the squeeze extends, in the interim, the neutral outlook holds.