Brent crude rises 2%, WTI nears $65

Oil rigs

Oil prices climbed higher on Monday amid positive outlook for global demand recovery as COVID-19 vaccinations drives pick up pace.

International benchmark Brent crude was trading up 2.1% at $67.83 per barrel, at 12.25 pm Makkah time.

WTI crude rose 1.9% to $64.81 per barrel.

The US reported its first week since June with no days of infections exceeding 30,000, while death rates in France and Italy continue to decline.

“There’s a lot of vaccine-driven demand optimism in the US and Europe that’s likely to be further boosted by the summer driving season next month,” Bloomberg reported, citing Kim Kwangrae, senior commodities analyst at Samsung Futures Inc.

Meanwhile, Goldman Sachs said it expects Brent crude to rise to nearly $80 a barrel in Q4 2021, in light of the continued recovery in demand for crude.