Oil Hikes on Supply Concerns & Weaker Dollar

PUKMEDIA

Oil field.

Oil prices ticked up on Tuesday, 3 June 2025, on concerns about supply, and weakness in the dollar also supported prices.

Reuters reported that Brent crude futures gained 21 cents, or 0.32%, to $64.84 a barrel by 0437 GMT. U.S. West Texas Intermediate crude was up 27 cents, or 0.43%, to $62.79 a barrel, after rising about 1% earlier in the session.

The oil market surged higher on Monday as rising geopolitical risks and a supply hike from OPEC+ that fell short of expectations provided a boost, Reuters quoted ING analysts as saying in a note.

"The strength continued into early morning trading today," ING said on Tuesday.

The Reuters reports also noted that the dollar index, which measures its performance against six other major currencies, held near six-week lows as markets weighed the outlook for President Donald Trump's tariff policy and its potential to hurt growth and stoke inflation. A weaker U.S. currency makes dollar-priced commodities such as oil less expensive for holders of other currencies.

"Crude oil prices continue to rise, supported by the weakening dollar," Reuters quoted Priyanka Sachdeva, senior market analyst at Phillip Nova, as saying.



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