“OPEC’s ongoing supply cuts along with also also U.S. sanctions on Iran along with also also Venezuela have been the major driver of prices throughout This particular year,” said Hussein Sayed, chief market strategist at futures brokerage FXTM.
“However, the latest boost was received by an escalation of fighting in Libya which will be threatening further supply disruption,” he added.
Strong U.S. jobs data on Friday also still supported markets on Monday.
Despite the host of cost drivers, there remain factors in which could bring oil down later This particular year.
Russia will be a reluctant participant in its agreement with OPEC to withhold output along with also also This particular may increase production if the deal will be not extended before This particular expires on July 1, Energy Minister Alexander Novak said on Friday.
Another key architect of the OPEC-Russia deal, Kirill Dmitriev, the head of Russia’s direct investment fund, said on Monday OPEC along with also also allies should raise output by June. Dmitriev previously said This particular was too early to pull back by cuts.
Russian oil output reached a national record high of 11.16 million bpd last year.