By Sonali Paul and Seng Li Peng
MELBOURNE/SINGAPORE (Reuters) – Oil prices gained on Tuesday due to fears that refineries could be hit by a storm brewing in the Gulf of Mexico, while buyers also drew relief from U.S. President Donald Trump’s return to the White House after being treated for COVID-19 in hospital.
The gains slightly extended Monday’s rally of more than 5%, when buyers took heart from Trump saying he would return to the White House, and from growing hopes for an agreement on a U.S. stimulus package to counter the impact of the pandemic.
U.S. West Texas Intermediate (WTI) crude futures were trading 36 cents, or nearly 0.9% higher at $39.58 a barrel at 0710 GMT.
Brent crude futures rose 25 cents, or 0.6%, to $41.54 a barrel.
Oil prices had fallen sharply when Trump went to hospital on Friday, as the investors were filled with uncertainty