Oil climbs on expectations of tight supply as Russia sanctions loom
SINGAPORE (Reuters) – Oil rose in early Asian trade on Monday as expectations of tighter supplies globally ahead of European Union sanctions on Russian oil underpinned prices.
Brent crude futures climbed 54 cents, or 0.6%, to $94.04 a barrel by 0125 GMT while U.S. West Texas Intermediate crude was at $85.56 a barrel, up 51 cents, or 0.6%.
Brent posted a 2% gain last week on a weaker dollar and on hopes of easing COVID-19 restrictions in China that would allow demand at the world’s No. 2 consumer to rebound.
Disruptions to global oil supplies are expected when the EU’s ban on Russian imports goes into effect on Dec. 5. The group also plans to block imports of Russian oil products in February.
