Crude oil futures ended significantly higher on Tuesday amid easing concerns about excess supply on hopes the Organization of Petroleum Exporting Countries and their allies, collectively known as OPEC+, will delay plans to return its production cuts by a few more months. Some support also came in amid geopolitical tensions in the Middle East after reports indicated claims of Israeli airstrikes targeting southern Lebanon. The situation on the Israel-Lebanon border is heating up as renewed tensions escalate between the Israel Defense Forces (IDF) and the Iranian-backed militant group Hezbollah.
Benchmark crude oil futures for January delivery rose by $1.84 or about 2.7 percent to settle at $69.94 a barrel on the New York Mercantile Exchange. Brent crude for February delivery added $1.79 or about 2.5 percent to settle at $73.62 a barrel on London's Intercontinental Exchange.