Crude oil futures ended higher on Tuesday amid expectations of higher seasonal demand and on the U.S. government's plans to refill the emergency oil reserve. The Energy Information Administration (EIA) said in a report that seasonal demand for oil is likely to be higher this year. The EIA said it expects crude production will rise 5.1% to 12.53 million barrels per day this year, but lowered its output estimate for the current year and the next from earlier forecasts. The EIA has also cut its price target for Brent and WTI by over 7% to $78.65 a barrel and $73.62 a barrel, respectively.
Benchmark crude oil futures for June delivery rose $0.55 or about 0.8 percent to settle at $73.71 a barrel on the New York Mercantile Exchange. Brent crude for July delivery added $0.35 or 0.45 percent to settle at $77.36 a barrel on London's Intercontinental Exchange.