LONDON: Oil rose to US$69 a barrel on Tuesday as investors focused on prospects for tighter supply due to extended OPEC+ output curbs and amid growing hopes of a recovery in demand.
"Dips have been lately viewed as buying opportunities," said Tamas Varga of broker PVM."Last week's OPEC+ meeting will ensure that the global oil balance will get tighter in the foreseeable future." "With a structural undersupply in the physical market now, any dips in oil prices are likely to attract physical buyers' attention," said Jeffrey Halley of broker OANDA.Prices also rose on expectations of economic recovery after the U.S. Senate approved a US$1.9 trillion stimulus package, outweighing a stronger U.S. dollar, which tends to crimp investor demand for commodities.