Crude oil futures settled higher on Tuesday, even though the US stocks and other commodities melted down. Besides, tensions in the Middle East supported the gains in crude futures. Turmoil in the Middle East and US trade sanctions against major oil producer Iran has supported higher prices for oil. Moreover, the Organization of the Petroleum Exporting Countries (OPEC), in its most recent report, reduced its forecast for global oil production. Meanwhile, traders are looking ahead to data about US oil output from the Energy Information Administration on Wednesday as well as a report on inventories from the International Energy Agency on the same day.
Benchmark crude oil futures for June delivery rose 35 cents or 0.50 percent to settle at $71.31 a barrel on the New York Mercantile Exchange. July Brent crude gained 20 cents or 0.30 percent to settle at $78.43 a barrel on London's Intercontinental Exchange.