International benchmark Brent rallied in European trade on Monday to two-week highs, expanding gains for the second session after the US launched air strikes on the Houthi group in Yemen.
Sources said the operation against Houthis could carry on for weeks, which could impact navigation through the Red Sea.
Prices
Brent rose 1.8% today to $71.76 a barrel, the highest since March 3, with a session-low at $70.51.
Brent rose 0.6% on Friday, the third profit in four days away from four-year lows at $68.37.
Global oil prices rose 0.25% last week, the first weekly profit in two months on short-covering.
US Air Strike
US President Donald Trump ordered air strikes against the Houthis on Saturday in response to the Iran-backed group’s attacks on ships in the Red Sea.
Chinese Data
Earlier Beijing data showed retail sales rose 4.0% in February, up from a 3.7% rise in January, and beating estimates of a 3.8% increase.
China’s industrial production rose 5.9% last month, beating estimates of a 5.3% rise.
Such data renewed hopes for an economic recovery in China, which would likely boost demand on fuel in the world’s largest oil consumer.
