Oil futures rose on Tuesday after the dollar weakened and pulled away from the two-week peak reached a day earlier, reported Reuters. Despite the appreciation still, there are doubts whether major producers would be able to agree to freeze production so the oversupply continues to put pressure on prices.
US light crude WTI is rising by 0.13% to 47.04 dollars per barrel. European benchmark Brent depreciates by 0.10% to 49.41 dollars per barrel.
The dollar index values 95.72.
The dollar pulled back from the top the currency touched on Monday as investors await employment data in the US later this week. On Friday, the vice chairman of the US Federal Reserve Stanley Fischer said that this report will be important for the decision when the central bank to raise rates.
The weaker dollar makes commodities denominated in dollars cheaper for holders of other currencies and has the potential to boost demand.
“There’s a feeling that the OPEC production freeze talks might result in something positive, but it’s just talk,” said risk management director at Mitsubishi Corporation Robert Nunan.