Oil settles up 1% on tight supply, U.S. crude at 13-week high

Brent LCOc1 futures gained US$1.06, or 0.9%, to settle at $120.57 a barrel, its highest since May 31. U.S. West Texas Intermediate (WTI) crude CLc1 gained 91 cents, or 0.8%, to $119.41, its highest settlement since March 8 which matched an August 2008 settlement high.

NEW YORK: Oil prices gained about 1% on Tuesday, with U.S. crude settling at a 13-week high on supply concerns, including no nuclear deal with Iran, and prospects for demand growth in China, which is relaxing lockdowns to control the pandemic.

Looking ahead, analysts polled by Reuters forecast U.S. crude inventories fell last week. A drop in crude stockpiles could further support prices.