Oil price climbs as supplies expected to remain tight

Brent crude settled up 42 cents, or 0.5%, to US$86.48 a barrel. Earlier in the session, the contract touched its highest price since Oct. 3, 2018, at $86.71. U.S. West Texas Intermediate crude was up 53 cents, or 0.6%, at $84.35 after touching its highest price since Nov. 10 at $84.78. Trade was subdued due to the U.S. holiday honoring slain civil rights leader Martin Luther King Jr.

Oil prices rose on Monday with investors betting that global supply will remain tight, although restraint by major producers was partially offset by a rise in Libyan output.

Brent crude settled up 42 cents, or 0.5%, to US$86.48 a barrel. Earlier in the session, the contract touched its highest price since Oct. 3, 2018, at $86.71.